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2024 Supreme(Kar) 1310

IN THE HIGH COURT OF KARNATAKA AT BENGALURU
N.S.SANJAY GOWDA
Shree Renuka Sugars Limited, Represented By Its Authorised Representative/ Assistant Manager – Appellant
Versus
State Of Karnataka, Department Of Energy, Represented By Additional Chief Secretary – Respondent


Advocates Appeared:
For the Petitioners: Sri. Manmohan P.N.
For the Respondents:Smt. Hemalatha V., AGA, Sri. S. Sriranga., Senior Counsel For Sumana Naganand, Advocate, Smt. Sinchana M.R., Advocate, Sri. H. Shanthi Bhushan, DSGI.

Table of Content
1. petitioner generates power and seeks to sell. (Para 1 , 2)
2. government scheme for power supply introduced. (Para 3 , 4 , 5 , 6)
3. petition challenges the legality of imposed conditions. (Para 7 , 8 , 9 , 10 , 11)
4. arguments regarding authority to impose financial conditions. (Para 12 , 13)
5. court evaluates legality of government powers under section 11. (Para 14 , 28 , 30)
6. rebate for prompt payment questioned legally. (Para 29 , 34)
7. standard norms cannot dictate mandatory statutory rights. (Para 36 , 38)
8. court struck down illegal rebate condition. (Para 39 , 40 , 41)

ORDER :

N.S. SANJAY GOWDA, J.

1. The petitioner herein is a company running sugar factories across the State, and also generates green power using bagasse. The excess power generated was being sold by the petitioner through the Indian Energy Exchange registered with the 4th respondent (mainly inter-State supply through open access). In this regard, clearance was obtained by the petitioner from the State Load Despatch Centre (“SLDC”) on 29.09.2023.

2. The petitioner, though initially did not generate requisite surplus power for sale, thereafter attempted to sell the same through open access, and

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