Case Note & Summary
The dispute arose between a cooperative poultry farming society and the Maharashtra State Electricity Board regarding the payment of electricity charges. The appellant, Mayur Sahakari Kukkut Palan Society Limited, contested the demand for payment of dues exceeding Rs. 2 crores, insisting on a tariff rate of 32 paise per unit, which was the rate applicable in 1992. The learned single judge had previously examined the case and concluded that the appellant's insistence on the outdated rate was unjustified, as the tariff had been revised multiple times since then. The court noted that the electricity was used not only for poultry farming but also for commercial and industrial purposes. During the appeal hearing, the court suggested that the appellant pay at least 50% of the arrears, which was rejected. Consequently, the appeal was dismissed, and the trial court was directed to expedite the hearing of related suits, aiming for resolution within six months.
Headnote
A) Electricity Law - Tariff Revision - Justification for Tariff Rate - Electricity Act, 2003, Section Not Mentioned - Appellant's insistence on outdated tariff rate was not justified as the tariff had been revised over time. The court found that the electricity usage extended beyond the poultry farm to commercial and industrial purposes, leading to the dismissal of the appeal. Held that the appellant must comply with current tariff rates (Paras 3).
Issue of Consideration
Whether the appellant was justified in insisting on payment of electricity charges at the rate of 32 paise per unit from 1992.
Final Decision
The appeal was dismissed, and the trial court was directed to expedite the hearing of related suits, aiming for resolution within six months.
Law Points
- Electricity tariff revision
- Payment of arrears
- Appeal dismissal
