2021 Supreme(Online)(MAD) 45902
IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED 16.11.2021 CORAM THE HONOURABLE MR.JUSTICE KRISHNAN RAMASAMY W.P.No.2860 of 2018 and W.M.P.No.3529 of 2018 Venkatalakshmi Paper & Boards Private Limited, (Formerly known as V.G.Paper and Boards Ltd)
Andipatty Road, Kolumam, Madathukulam Taluk – 642 204, Rep.by its Director Dr.Narendran. ...Petitioner ..Vs..
1.State of Tamil Nadu, Rep.by the Secretary to Government, Energy Department, Secretariat, Fort St.George, Chennai – 600 009.
2.The TANGEDCO, Rep.by its Chairman, No.144 Anna Salai, Chennai – 600 002.
3.The Chief Engineer / Commercial, TANGEDCO, 144, Anna Salai, Chennai – 600 002.
4.The Superintending Engineer, Udumalpet Electricity Distribution Circle, TANGEDCO, Udumalpet. ...Respondents PRAYER : Petition filed Under Article 226 of the Constitution of India praying to issue a Writ of Certiorarified Mandamus, calling for the records of the 3rd respondent in his impugned demand notice dated 23.01.2018 bearing Lr.No.SE/UEDC/UDT/DFC/AO/R/AAO/HT/AS/F.TF concession/ 2018 and quash the same as illegal, arbitrary, without the authority of law and against the very spirit of the order of the Supreme Court dated 16.05.2008 and consequently direct the respondents to grant tariff concession to the petitioner by following the procedure laid down by the Hon'ble Supreme Court in its Judgment dated 16.05.2008 passed in Civil Appeal No.3940 of 2008 and permit the petitioner to release the Bank Guarantees executed in favour of the respondents with respect to the tariff concession amount.
For Petitioner : Mr.R.Pandiyaraj For Respondents : Mr.K.M.D.Muhilan, Government Advocate for R1 Mr.Abdul Kalam, Standing Counsel for R2 to R4
ORDER
This Writ Petition has been filed, praying to issue a Writ of Certiorarified Mandamus, calling for the records of the 3rd respondent in his impugned demand notice dated 23.01.2018 bearing Lr.No.SE/UEDC/UDT/DFC/AO/R /AAO/HT/AS/F.TF concession/2018 and quash the same as illegal, arbitrary, without the authority of law and against the very spirit of the order of the Supreme Court dated 16.05.2008 and consequently direct the respondents to grant tariff concession to the petitioner by following the procedure laid down by the Hon'ble Supreme Court in its Judgment dated 16.05.2008 passed in Civil Appeal No.3940 of 2008 and permit the petitioner to release the Bank Guarantees executed in favour of the respondents with respect to the tariff concession amount. 2. The petitioner has come forward with the plea that pursuant to the issuance of G.O.Ms.No. 29 Energy (A-2) dated 31.1.1995, they have started to establish the industry with a view to get tariff concession as mentioned therein and ultimately they have set up the industry but due to some reason or other giving power connection was delayed beyond 14.2.1997 which resulted in refusal by the respondents in extending infancy benefit made available as a tariff concession by the Government, in G.O.Ms.No.29, dated
31.1. 1995.
3. The learned counsel for the petitioner would submit that the petitioner set up an industry, i.e., a Paper Mill with a capital investment of around Rs.23.81 Crores and made an application 09.10.1995 for a maximum demand of 3500 KVA of supply of electrical energy under the category of "High Tension". The said application was kept pending for more than 10 months without assigning any reason by the respondents. Later, vide communication dated 19.08.1996, the 3rd respondent sanctioned the demand of 3500 KVA and pursuant to the same, the petitioner also paid EMD of Rs.10,50,000/- on 11.09.1996. Thereafter, the petitioner vide communication dated 18.09.1996, expressed its readiness to avail power after completion of civil works and having equipments installed at the site. While so, there was no response from the respondents despite the petitioner approaching them periodically and in the meanwhile, the tariff concession notification issued in G.O.Ms.No.29 dated 31.01.1995 was withdrawn by the Government vide G.O.Ms.No.17 dated 14.02.1997. Thereafter, on 01.09.1997, the respondents sent a letter to the petitioner, directing to pay a sum of Rs.5,95,945/- towards development and service connection charges, etc. Immediately, the petitioner also paid the said amount on 03.09.1997.
Later, the petitioner obtained CEIG certificate and finally, the respondents provided service connection on 31.10.1998. Therefore, according to the petitioner, the petitioner had already set up the industry well prior to 14.02.1997 having invested substantial sum and erected imported machineries in the year 1996 itself and also expressed its readiness even on 18.09.1996 and as such, the petitioner is entitled to receive the Tariff concession. The learned counsel also relied upon the judgment of the Hon'ble Supreme Court dated 16.05.2008 in Civil Appeal Nos.3940 to 4084 of 2008.
4. On the other hand, the learned Standing counsel appearing for the respndents would submit that though the petitioner confirmed in their letter dated 03.12.1997 that they received the Safety certificate from Chief Electrical Energy to Government/Chennai on 02.12.1997 and that they were ready to avail supply, the benefit of G.O.Ms.No.29 dated 31.10.1995 has been seized of by virtue of its withdrawal by the Government and as such, the High Tension Industry set up on or after 15.02.1997 are not entitled for Tariff Concession. He also submitted that the petitioner obtained Safety Certificate from Chief Electrical Inspector to Government only on 02.12.1997 and produced the same on 03.12.1997 and thereafter only, the petitioner was provided with High Tension Service Connection on 12.01.1998 and therefore, the petitioner starte