Cl. XVI of the Sixth Schedule of the Indian Electricity (Supply) Act, 1948, is not a statutory provision for arbitration of disputes between a licensee and a consumer.

Judgment

SARKAR J.: This is an appeal from the judgment passed by the High Court at Bangalore on a petition in revision. The question is whether a certain suit should be stayed under S. 34 of the Arbitration Act, 1940.

2. The appellant carries on business as a supplier of electrical energy in Belgaum. It obtained a licence from the Government under S. 3 of the Indian Electricity Act 1910, authorising it to supply the energy in that area. The respondent, who is the plaintiff in the suit, obtained supply of electricity from the appellant. The respondent felt that he was being overcharged by the appellant for the electricity so supplied. He thereupon filed a suit in the Court of the Civil Judge, Belgaum on or about the 8th of June 1955 claiming a refund of the amount paid in excess of what he thought was the legitimate charge. The appellant then applied under S. 34 of the Arbitration Act for a stay of the suit on the ground that the matter was referable to arbitration under the provisions of the Indian Electricity (Supply) Act, 1948. The application, was dismissed by the Civil judge and his decision was confirmed by the Extra Assistant Sessions Judge on appeal and lastly, by the High Court in revision. The appellant has now come to this Court.

3. The appellant contends that this matter is referable to arbitration under the provision contained in d. XVI of the Sixth Schedule of the Act of 1948. A few of the provisions of these Acts will now have to be referred to. Under the Act of 19l0 the business of supplying electrical energy can be carried on only with the sanction of the Government. Section 3 of that Act makes provision for the grant of a licence for supplying electrical energy. The appellant obtained a licence in 1932.

4. A form of the licence is set out in the rules framed under the Act of 1910 and that form prescribes the maximum limit which a licensee is entitled to charge a consumer for the electrical energy supplied. The Act of l948 made a somewhat different provision with regard to these charges. It pro- vided by S. 57 as follows:

S. 57. (1) The provisions of the Sixth Schedule and the Table appended to the Seventh Schedule shall be deemed to be incorporated in the license of every licensee, not being a local authority from the date of the commencement of the licensee s next succeeding year of account, and from such date the licensee shall comply therewith accordingly and any provisions of such licence or of the Indian Electricity Act, 1910, or any other law, agreement or instrument applicable to the licensee shall, in relation to the licensee, be void and of no effect in so far as they are inconsistent with the provisions of this section and the said Schedule and Table.

(2) ........ ........ ........ ........ ........ ............

This section had therefore the effect of incorporating in the licence the terms of these 33 two Schedules and provided that they would prevail over then terms of any previously granted licence or the provisions of the Act of 1910, or any other law, agreement or instrument inconsistent with these Schedules. The Sixth Schedule made new provisions about the charges that a licensee was entitled to realise for current supplied. Clause XVI of that Schedule contains a provision for arbitration and it is on that that the appellant relies. That clause is in these terms:

"Any dispute or difference as to the interpretation or any matter arising out of the provisions of this Schedule shall be referred to the arbitration of the Authority."

The appellant contends that the dispute covered by the respondent s suit is one of the kind mentioned in this clause and therefore must be referred to arbitration under its terms.

5. We will assume that the dispute is of the kind mentioned in cl. XVI of the Sixth Schedule. We are however unable to see that it is a dispute which is referable to arbitration under that clause. It is not the appellant s case that cl. XVI is a clause in any contract between it and the responden