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2025 Supreme(Bom) 53

IN THE HIGH COURT OF BOMBAY
M.S. JAWALKAR, J.
Maha. State Electricity Distri. Co. Ltd. Thr. Executive Engineer (ADM.) - Appellant
Versus
M/s, Meera Enterprise Thr. Its Proprietor Hasmukh Patel Washim – Respondent
WP/6409 Of 2024
Decided On : 20-01-2025

Advocates Appeared:
For the Petitioner: Shri S.V. Purohit , Adv.

The Consumer Grievance Redressal Forum lacks jurisdiction to direct revisions of energy bills and grant subsidies, which fall under the authority of the Government of Maharashtra.

Headnote:

(A) Electricity Act, 2003 - Section 61 and Section 65 - Maharashtra Electricity Duty Act, 2011 - Jurisdiction of Consumer Grievance Redressal Forum (CGRF) - CGRF directed the petitioner to revise energy bills and refund penalties, which the petitioner contended was beyond CGRF's jurisdiction. The court found that CGRF lacked authority to grant subsidies or refund electricity duty, as these matters fall under the purview of the Government of Maharashtra. (Paras 6, 15, 16)

(B) Jurisdiction - The court emphasized that the CGRF's directions regarding energy bill revisions and subsidy payments were beyond its jurisdiction, as disputes related to subsidies must be referred to the Government. (Paras 10, 15)

Facts of the case:
The petitioner, a distribution licensee, was directed by CGRF to refund security deposits and revise energy bills for a consumer who had previously defaulted on payments. The consumer had requested a new connection after discontinuing the old one.

Findings of Court:
The court held that the CGRF's order was perverse and without jurisdiction, specifically regarding the directions to revise energy bills and refund penalties.

Issues: The main issues were whether the CGRF had jurisdiction to issue directions regarding energy bill revisions and subsidies.

Ratio Decidendi: The court ruled that the CGRF exceeded its jurisdiction by issuing directions related to subsidies and electricity duty, which are matters for the Government of Maharashtra to decide.

Result: Petition allowed; CGRF's order quashed.

JUDGMENT :

(M.S. Jawalkar, J.)

Heard learned Counsel for petitioner.

2. The Petitioner, by the instant Petition, is challenging the final order passed in CGRF case No. 120/2023 dated 05/04/2024, whereby, the Consumer Grievance Redressal Forum, Akola (CGRF For Short) partly allowed the grievance in application of the respondent and directed the petitioner, to refund balance security deposit of old connection with interest, to revise the energy bills of consumer by assuming that its contract demand is 616 KVA, to refund electricity duty and to pay to the consumer subsidy given by the Government as per Government Notification.

3. The petitioner being a Distribution Licensee was initially supplying power through its High Tension lines to the respondent with contract demand 900 KVA as per its agreement with the respondent consumer. The electricity supply was provided since 20/06/2019 and was billed with consumer No. 326099026590. It is submitted that the respondent consumer in due course of time, though consumed the electricity but did not pay its bills and as a result of which, there were outstanding arrears. The respondent consumer requested the petitioner to permanently disconnect its supply by moving an application dated 10/03/2022. The consumer further requested MSEDCL to adjust its security deposit against its outstanding arrears. The petitioner processed the consumers request as per supply code regulations by finalizing the bill and adjusting the arrears against the security deposit. Thus, the agreement between the petitioner and the consumer came to an end on or about 12/03/2022 and the respondent was no longer the consumer of the petitioner.

4. The respondent again applied to MSEDCL for getting a new connection on or about 03/07/2022 and in pursuance to the same, the respondent was given new connection with new consumer bearing no. 326099032850 and with contract demand of 500 KVA. The Respondent/Consumer though had contract demand for 500 KVA, but consumer exceeded the contract demand on more than three occasions, therefore, MSEDCL requested respondent No.1 to submit an application as per supply code regulations for increase of contract demand. The respondent vide application dated 27/09/2023, applied for revision of its contract demand from 500 KVA to 600 KVA. The petitioner conveyed the sanction for enhancement of contract demand on 08/12/2023. The petitioner after receiving the payment of the charges from the consumer as per estimate given, the enhancement was increased on 17/02/2024.

5. The Respondent consumer filed a complaint/grievance before the CGRF, Akola, praying for transfer of alleged credit balance of old security deposit [Consumer No. 326099026590] with interest in the New account [Consumer No. 32609932850] of the consumer. The consumer also made a grievance in the matter of granting exemption from levy of Electricity Duty and refund of the Same ETC. The member of the CGRF after hearing the parties have passed the impugned order dated 05/04/2024 directing the MSEDCL to comply the order within 30 days.

6. Learned Counsel for the petitioner contended that it is only the Government of Maharashtra which is empowered to grant any subsidy to any consumer and if there is any dispute in relation to the same, then it is Government of Maharashtra which can alone decide the same. The commission has no jurisdiction in such matters. The Electricity Duty Act is also relevant as the electricity duty is levied by the Government under the Maharashtra Electricity Duty Act, 2011. The electricity duty and if at all there is any dispute, it is the State Government which can decide the dispute.

7. It is further contended that the CGRF has not considered the effect of the orders passed by MERC in Case No. 07/2023, 117/2023 and provisions of Maharashtra Electricity Duty Act, 2016. The said orders and the Act would show that the CGRF did not have any jurisdiction to deal with and decide any dispute in respect of grant of electricity duty exe

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