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2024 Supreme(P&H) 832

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
VINOD S. BHARDWAJ, J.
Paramjit Kaur – Petitioner
Versus
Punjab State Power Corporation Ltd. & Ors. – Respondents
CWP-37216 of 2019
Decided On : 11-07-2024

Advocates Appeared:
Mr. J.S. Jaidka, Advocate; For the Petitioner
Mr. A.S. Kang, Advocate; For the Respondents

The Appellate Authority must consider all arguments and evidence in its decision-making process; failure to do so results in a non-speaking order and invalidates the decision.

Headnote:(A) Electricity Act, 2003 - Section 127 - Challenge to assessment order and demand notice - Petitioner contended that assessment was improperly calculated, failing to consider the correct duration of Unauthorized Use of Electricity - The Appellate Authority did not address essential arguments raised by the petitioner, resulting in a non-speaking order. (Paras 2, 4, 5)

(B) Writ Petition - Scope - The court found that the Appellate Authority must examine all arguments and evidence presented before making a determination. (Paras 4, 5)

Facts of the case:
The petitioner challenged the assessment of Unauthorized Use of Electricity, arguing that the assessment period was incorrectly calculated and not reflective of actual occupancy. The premises were inspected while occupied by a tenant, and the petitioner provided a rent deed to support his claims.

Findings of Court:
The court determined that the Appellate Authority failed to consider the petitioner’s arguments, leading to a non-speaking order that required correction.

Issues: The main issue was whether the Appellate Authority adequately addressed the arguments regarding the assessment of Unauthorized Use of Electricity.

Ratio Decidendi: The court ruled that the Appellate Authority must consider all relevant arguments and evidence before making a decision, emphasizing the need for a speaking order.

Result: The order of the Appellate Authority was set aside, and the matter was remanded for fresh consideration.

JUDGMENT

Mr. Vinod S. Bhardwaj, J. (Oral)

Challenge in the present petition is to the order dated 17.04.2017 passed by Additional Superintendent Engineer, CMC Division (Special) as well as to the demand notice dated 21.04.2017 and also to the order passed in appeal dated 31.07.2019 passed by the Appellate Authority-cum-Deputy Commissioner in exercise of the powers conferred under Section 127 of the Electricity Act, 2003.

2. The factual aspects are not much in dispute and as such the same are not being adverted to at this juncture. The grievance espoused by the petitioner is confined to the assessment undertaken by the respondents. He contends that as per the provisions of the Electricity Supply Code read with the Electricity Supply Instructions Manual, an assessment was to be undertaken as per the approved formulae. It is submitted that two of the factors that have been taken into consideration while assessing the charges i.e. the number of days and the hours have been wrongly incorporated by the respondent/assessing Authority while raising the demand. He contends that while computing the penalty for Unauthorized Use of Electricity, the Competent Authority is required to take into consideration a period of 365 days preceding the date of Unauthorized Use of Electricity and that it may reduce the period to the actual Unauthorized Use of Electricity when such facts are brought to the notice of the Authority. It is submitted by him that the premises in question was inspected by the officials of the respondents, while the same was under the tenancy of Satpal Kalia for the period from 30.04.2007 to 31.03.2008. The premises was vacant w.e.f. 01.04.2008 to 14.07.2008 and on 15.07.2008, it was rented out to one Manjeet Singh and another. The premises was in occupation of the aforesaid Manjeet Singh as on the date of inspection i.e. 04.09.2008. He contends that the premises had a single point connection for which the number of hours i.e. the duration for which the electricity supply was to be assumed, should have been eight and that the number of days had to be reduced taking into consideration the registered rent deed that was adduced by the petitioner before the respondent No.1 Authorities. He contends that it is thus not a case where the period for the alleged Unauthorized Use of Electricity could not be determined rather, there was a different period when the property in question came in possession of the tenant, who was purportedly found in Unauthorized use of Electricity and as such, the number of days ought to have been counted accordingly. He submits that the aforesaid contention was raised by the petitioner before the Appellate Authority, however the same was not taken into consideration by the respondents.

3. Counsel for the respondents, on the other hand, has vehemently argued that the mere fact that a rent deed has been executed cannot be taken as a final word on the occupation of the premises. He submits that the burden to proof that there was no Unauthorized Use of Electricity in the premises in question and that it was in actual occupation of some other person is on the petitioner. He further submits that even if it is assumed that the property in question was vacated on 31.03.2008 by the earlier tenant, there can be no presumption that the property in question was vacant w.e.f. 01.04.2008 to 14.07.2008. He, however, is not a position to dispute the fact that the abovesaid aspects have not been dealt with by the Appellate Authority in its impugned order. There is thus no consideration of the essential arguments and facts that are agitated by the petitioner to substantiate his grouse.

4. Without commenting any other aspect(s) of the case, more so when the petitioner does not dispute the factums of inspection and has confined his arguments only to the factors that have been applied while assessing the Unauthorized Use of Electricity, I find that the aforesaid contentions have material bearing on the final assessment required

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