APPELLATE TRIBUNAL FOR ELECTRICITY AT NEW DELHI (APPELLATE JURISDICTION)

APPEAL NO. 222 OF 2014 &

APPEAL NO. 223 OF 2014 Dated: 28^th February, 2025 Present: Hon’ble Mr. Justice Ramesh Ranganathan, Chairperson Hon’ble Ms. Seema Gupta, Technical Member (Electricity)

APPEAL NO. 222 OF 2014 In the matter of:

MULA PRAVARA ELECTRIC CO-OPERATIVE SOCIETY LIMITED (“MPECS”)

Shrirampur, District Ahmednagar, Maharashtra, PIN 413709. …Appellant(s)

VERSUS

1. MAHARASHTRA ELECTRICITY REGULATORY COMMISSION

13^th Floor, Cuffe Parade, Colaba, Mumbai – 400 005 Maharashtra. … Respondent No.1

2. MAHARASHTRA STATE ELECTRICITY DISTRIBUTION CO. LTD. (“MSEDCL”)

Prakashgad, Plot No. G-9, Bandra (East), Mumbai – 400 051 Maharashtra. … Respondent No.2

3. STATE OF MAHARASHTRA Through its:

(a) Secretary, Department of Co-operation, Marketing and Textiles, Government of Maharashtra, Mant ralaya, Mumbai – 400032 Maharashtra And (b) Secretary, Department of Industries, Energy and Labour, Government of Maharashtra, Mantralaya, Mumbai – 400032 Maharashtra. … Respondent No.3 Counsel for the Appellant(s): Mulla and Mulla and Craigie Blunt and Caroe Aditya Panda Hasan Murtaza for Appellant(s)

Counsel for the Respondent(s): Pratiti Rungta for Res.1 Ramni Taneja for Res.2 APPEAL NO. 223 OF 2014 In the matter of:

MULA PRAVARA ELECTRIC CO-OPERATIVE SOCIETY LIMITED (“MPECS”)

Shrirampur, District Ahmednagar, Maharashtra, PIN 413709. …Appellant(s)

VERSUS

1. MAHARASHTRA ELECTRICITY REGULATORY COMMISSION World Trade Centre No.1, 13^th Floor, Cuffe Parade, Colaba, Mumbai – 400 005 Maharashtra. … Respondent No.1

2. MAHARASHTRA STATE ELECTRICITY DISTRIBUTION CO. LTD. (“MSEDCL”)

Prakashgad, Plot No. G-9, Bandra (East), Mumbai – 400 051 Maharashtra. … Respondent No.2

3. STATE OF MAHARASHTRA Through its:

(a) Secretary, Department of Co-operation, Marketing and Textiles, Government of Maharashtra, Mantralaya, Mumbai – 400032 Maharashtra And (b) Secretary, Department of Industries, Energy and Labour, Government of Maharashtra, Mantralaya, Mumbai – 400032 Maharashtra. … Respondent No.3 Counsel for the Appellant(s): Hasan Murtaza Aditya Panda for Appellant(s)

Counsel for the Respondent(s): Pratiti Rungta for Res.1 Ramni Taneja for Res.2 JUDGEMENT PER HON’BLE MR. JUSTICE RAMESH RANGANATHAN, CHAIRPERSON I. INTRODUCTION:

Appeal No. 222 of 2014 is preferred by the Appellant against the order passed by the MERC in Case No. 85 of 2010 dated 18.06.2014, whereby MERC held that the 2^nd Respondent-MSEDCL was not required to make a fresh application for grant of license to supply electricity in MPECS area of supply as they were the successor of the erstwhile MSEB in the area of distribution, and a licensee for supply of electricity in these areas. In its order, in Case No. 85 of 2010 dated 18.06.2014, MERC held that the 2nd Respondent MSEDCL had a license to supply electricity in the MPECS area of supply; the distribution rights of the 2^nd Respondent (erstwhile MSEB) were not forfeited because of non-supply in the appellant - MPECS area; in accordance with Section 26 of the Electricity (Supply) Act, 1948 read with Section 19(2) thereof, MSEB had been conferred the powers and obligations of the distribution licensee for the whole State of Maharashtra; MSEB, which was engaged in the business of distribution of electricity prior to enactment of the Electricity Act, 2003, continued to act as a deemed distribution licensee as per the first proviso to Section 14 of the Electricity Act, 2003; in accordance with Section 131 read with the fifth proviso to Section 14 of the Electricity Act, 2003, and the subsequent notification of the Maharashtra Electricity Reforms Transfers Scheme dated 04.06.2005, the 2nd Respondent, being the successor of MSEB, had the same area of supply as MSEB for distribution of electricity, with no exceptions or deletions; the Appellant had been granted a license in the year 1971 for supplying electricity in four talukas i.e., Rahuri, Shrirampur, Sangamner, and Nevasa in the district of Ahmednagar; no