O R D E R

This Writ Petition has been filed challenging the impugned Letter bearing Lr.No.SE/CEDC/N/DFC/AO/Rev/AAO/HT/AS.1/ F.Audit/ D.2161/2020, dated 19.10.2020 passed by the 4th Respondent, as illegal, arbitrary, without authority of law, against the Circular Memo dated 19.07.2016 issued by the 2nd Respondent under the order of the 1st Respondent/Chairman, TANGEDCO.

2. According to the Petitioner Industry, their Industry is involved in the manufacturing of paper products, having High Tension Electricity Supply in HTSC No.1763 coming under the 4th Respondent's Circle. The grievance of the Petitioner is that, in the impugned demand notice, the 4th Respondent has relied on the Circular Memo dated 03.10.2017 issued by the 3rd Respondent to justify that, the revision of Petitioner's CC Bills and its adjustment of wind energy from the common banking account for the period 02/2017 and 03/2017 is in order. According to the Petitioner, the Circular Memo dated 03.10.2017 issued by the 3rd Respondent pertains to implementation of the order issued by TNERC in R.A.No.6 of 2013, dated 31.03.2016 and accordingly, instructions along with illustrations were issued for revision of CC Bills in respect of wind energy captive users from 01.08.2012 to 31.03.2016. Whereas, in the present case, the alleged revision of Bill pertains to the period from 01.04.2016 to 01.04.2017, when the Circular Memo dated 19.07.2016 was fully in force. Hence, it is the case of the Petitioner that, the impugned order is liable to be set aside. 3. When the matter was taken up for hearing, learned counsel for the Petitioner produced a copy of the order dated 17.08.2021 passed by this Court in W.P.No.8634 of 2019, batch of cases, and submitted that, the issue involved in the case on hand, is squarely covered by the said order.

For better appreciation, relevant portion of the said order is extracted hereunder:

“30. The Circular Memo dated 19.07.2016, came into effect from 01.04.2016 and obviously this was issued after taking into consideration the rule position. On the coming into force of this Circular Memo, all the Superintending Engineers were directed to adhere to the procedure prescribed under the Memo for maintaining banking account and for adjustment of banked energy for captive use. This was acted upon and the current consumption bills were raised accordingly for the period 01.04.2016 to 31.03.2017.

31. Insofar as placing reliance on Circular Memo dated 31.03.2017 is concerned, it came into effect only from 01.04.2017 and therefore, it cannot be applied retrospectively for any period prior to 01.04.2017. It is therefore clear that none of the letters issued by the 3rd Respondent and the modified Circular Memo dated 31.03.2017, will have any bearing during the relevant period between 01.04.2016 to 31.03.2017 and consequently, there was no justification for the 4th Respondent to place reliance upon these proceedings.

Grounds a, b and c are answered accordingly.

32. Insofar as ground 'd' is concerned, even if the justification given by the 3rd and 4th Respondents are accepted for the sake of argument, even then, the modified Circular Memo dated 31.03.2017, cannot be given a retrospective effect to the period prior to 01.04.2017. This position was made clear even while discussing grounds a, b and c and rendering a finding.

Hence, ground 'd' is answered accordingly.

33. Before proceeding further to deal with the next ground, this Court must also deal with yet another Circular Memo dated 03.10.2017, which has been relied upon by the 4th Respondent along with modified Circular Memo dated 31.03.2017. The Circular Memo dated 03.10.2017, was again issued by the 3rd Respondent and it pertains to implementation of the order issued by TNERC in R.A.No.6 of 2017, dated 31.03.2016. Instructions were issued for current consumption bills in respect of wind energy captive users from 01.08.2012 to 31.03.2016. The Circular Memo will not apply to the case on hand since it pertained to the