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2005 Supreme(Ker) 461

Judges : RAJEEV GUPTA,K.S.RADHAKRISHNAN,KURIAN JOSEPH
Suraj K.R. - Appellant
Versus
The Secretary, Kerala State Electricity Board - Respondent
Case No : W.A.No. 2889 of 2002
Decided On : 07/28/2005
Advocates Appeared :
For the Appellant: M. Rajasekharan Nayar, Advocate. For the Respondents: R1 & R2 P. Santhalingam, Standing Counsel (KSEB).

Headnote:

Kerala Conditions of Supply of Electrical Energy Reg.15(e) -Writ petitioner has purchased about 3 acres and 191/4 cents of land in Porathusseri Village in Mukundapuram Taluk in public auction conducted under the provisions of the Kerala Revenue Recovery Act for an amount of Rs.15,65,000/-. Electricity connection was not available in the premises when it was purchased. Electricity supply was disconnected from the premises due to non-payment of electricity charges by the previous owner of the premises. Petitioner after purchasing the premises submitted an application in November 2001 to the Board for fresh electricity connection. Petitioner was informed that the application would be entertained only if the electricity arrears due from the previous consumer is cleared. Petitioner has therefore approached this Court seeking a writ of mandamus directing the Board to provide him with electricity connection stating that he is not obliged to pay the arrears due from the previous consumer.-Held, Court may in this connection refer to a recent decision of the Apex Court in Ahmedabad Electricity Co. Ltd. v. Gujarat Inns Pvt. Ltd., (2004) 3 SCC 587. Apex Court was dealing with the claims of auction purchasers of urban properties in the sales held in one case under S.29 of the State Financial Corporations Act and in the other case by the Official Liquidator in winding up proceedings under the Companies Act, 1956. Previous owners of the properties in both the cases were defaulters to Electricity Board in connection with the power supplied to the premises which was the subject matter of the sales effected -Appeal therefore lacks merits and it is accordingly dismissed.

Judgment :-

K.S. Radhakrishnan, J.

The question that is posed for consideration in this case is whether the Electricity Board can demand arrears of electricity dues including penalty incurred by a previous consumer from a new owner/occupier/allottee of the same premises as a pre-condition for electricity connection under Regulation 15(e) of the Conditions of Supply of Electrical Energy.

2. Three Division Benches of this court in Ramachandran v. K.S.E. Board (2002 (2) KLT 694), K.J. Dennis v. Liquidator (2001 (2) KLJ 75) and Seena B. Kumar v. Asst. Executive Engineer (2003 (3) KLT 987) have upheld the right of the Board, correctness of which was doubted by another Division Bench and referred the matter to a larger Bench for an authoritative pronouncement and hence the matter was placed before us.

3. Writ petitioner has purchased about 3 acres and 19¼ cents of land in Porathusseri village in Mukundapuram taluk in public auction conducted under the provisions of the Kerala Revenue Recovery Act for an amount of Rs.15,65,000/-. Electricity connection was not available in the premises when it was purchased. Electricity supply was disconnected from the premises due to non-payment of electricity charges by the previous owner of the premises. Petitioner after purchasing the premises submitted an application in November 2001 to the Board for the fresh electricity connection. Petitioner was informed that the application would be entertained only if the electricity arrears due from the previous consumer is cleared. Petitioner has therefore approached this court seeking a writ of mandamus directing the Board to provide him with electricity connection stating that he is not obliged to pay the arrears due from the previous consumer.

4. Learned single judge dismissed the writ petition placing reliance on Regulation 15(e) of the Conditions of Supply of Electrical Energy holding that the liability of the previous consumer would not be wiped off even if the petitioner is an auction purchaser in a revenue sale. Petitioner took up the matter in appeal before the Division Bench. The Bench felt that Regulations 15 (d) and 15(e) mainly deal with reconnection and those provisions cannot be made applicable to a person who has applied for a new connection. The Bench felt none of the earlier decisions has considered the validity of Regulation 15(e) especially in the light of the definition of the word “consumer”, or from the stand point of a person who has purchased the premises in a public auction free from all encumbrances as per Section 60 of the Kerala Revenue Recovery Act and hence the matter was placed before the Full Bench.

5. The Electricity (supply) Act, 1948 provides for the rationalization of the production and supply of electricity and generally for taking measures conducive to electrical development. Section 79 enables the Board to make regulations. Section 79 (j) of the Electricity (supply) Act enables the Electricity Board to lay down principles governing supply of electricity by the Board to persons other than licensees under Section 49. section 49 of the Act enables the Board to supply electricity to persons other than licence. The Board in exercise of its powers conferred by Section 79 (j) of the Electricity (supply) Act, 1948 and other enabling provisions of the statute has issued the Regulation relating to conditions of supply of Electrical Energy. Regulation 3 states that prospective consumers shall furnish the details as per the Application for supply of Electricity in Form 1 and completing the formalities and on approval of service connection estimate the applicant will have to furnish security deposit as provided under Regulation 14. Along with the remittance of security deposit the consumer should execute the service connection agreement in Form No.7 as provided under Regulation 15(a) and the premises will not be connected unless and until the agreement is executed. Regulation 15(d) states that the Board shall have first charge on th



















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