Petition filed under Article 226 of the Constitution of India, praying for issuance of a Writ of Certiorarified Mandamus, calling for the records of the 1st respondent comprised in G.O.(Ms)No.121, Energy (B1)Department, dated 23.12.2010 and published in Tamilnadu Government Gazette No.3, dated 26.1.2011 and quash the same as arbitrary, illegal and is violative of the provisions of the Tamilnadu Tax on consumption or sale of Electricity Act 2003 and consequently forbear the respondents their officers, employees, subordinates, agents, men or any other persons claiming and /or acting under them from in any manner from including the E-Tax component on captive generating plants.

ORDER

Challenging the G.O.(Ms)No.121, Energy (B1)Department, dated 23.12.2010 issued by the first respondent and published in Tamil Nadu Government Gazette No.3, dated 26.1.2011 as arbitrary, illegal and is violative of the provisions of the Tamil Nadu Tax on Consumption or Sale of Electricity Act 2003, the present Writ Petition has been filed. Consequently, the petitioner has sought for a direction to forbear the respondents, their officers, employees, subordinates, agents, men or any other persons claiming and /or acting under them from in any manner from including the E-Tax component on captive generating plants.

2. Heard the learned counsels appearing on either side. With the consent of both sides, the present Writ Petition is taken up for hearing at the admission stage itself.

3. It is the case of the petitioner that it is a Weaving Mill Industry utilizing captive power generators. The Government had decided to impose tax by invoking the power available under G.O.(Ms)No.121, Energy (B1)Department, dated 23.12.2010. The grievance of the petitioner is that it is only the second respondent, who is vested with the powers to assess and levy a tax and the same cannot be transferred or delegated to any other authority by way of an executive action or order. Assailing the aforesaid G.O. dated 23.12.2010, the present Writ Petition has been filed.

4. The learned counsel for the petitioner submitted that this Court in a similar issue in W.P.No.46608 of 2025 had disposed it with certain observations and directions on 28.11.2025 and prayed to extend the same benefits to the petitioner herein and the relevant paragraphs of the said order are extracted hereunder for ready reference:

“3.The learned counsel appearing for the petitioners further submitted that since interim injunction has been granted by the Hon'ble Division Bench of this Court in respect of G.O. (Ms.) No.121 Energy (B1) Department dated 23.12.2010 in W.A.No.2633 of 2025, this Court may dispose of these writ petitions by granting the same relief to the petitioners herein, however, if the appellant in W.A. No.2633 of 2025 loses the case before the Hon-ble Division Bench of this Court, the petitioners herein are ready to pay the tax arrears as on date to the respondents.

4.In view of the above undertaking given by the learned counsel appearing for the petitioners, this Court extends the benefit of the interim order granted by the Hon-ble Division Bench of this Court in W.A.No.2633 of 2025, to the petitioners herein. It is made clear that if the appellant in W.A.No.2633 of 2025, loses the case before the Hon-ble Division Bench of this Court, the petitioners herein have to pay the tax arrears as on date to the respondents.

5.The writ petition is disposed of with the above observations and directions. No costs. Consequently, connected miscellaneous petition are also closed.”

5. Considering the facts and circumstances of the case and also in the light of the order passed by this Court as stated supra, this Court extends the benefit of the interim order granted by the Hon’ble Division Bench of this Court in W.A.No.2633 of 2025 dated 29.08.2025 to the petitioner herein. It is also made clear that if the appellant did not succeed in the aforesaid appeal, then the petitioner herein has to pay