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The Chairman Cum Managing Director vs R.V.Ice Plant
2025 Latest Caselaw 2768 Mad

Citation : 2025 Latest Caselaw 2768 Mad
Judgement Date : 13 February, 2025

Madras High Court

The Chairman Cum Managing Director vs R.V.Ice Plant on 13 February, 2025

Author: G.R.Swaminathan
Bench: G.R.Swaminathan
                                                                          W.A.(MD)No.550 of 2021


                       BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

                                                DATED : 13.02.2025

                                                      CORAM

                            THE HONOURABLE MR.JUSTICE G.R.SWAMINATHAN
                                               and
                             THE HONOURABLE MR.JUSTICE M.JOTHIRAMAN

                                            W.A.(MD)No.550 of 2021
                                                     and
                                           C.M.P.(MD)No.2496 of 2021

                     1.The Chairman Cum Managing Director,
                       Tamilnadu Generation and Distribution
                           Corporation Ltd., (TANGEDCO),
                       Formerly Known as TNEB,
                       N.P.K.R.R. Maaligai, No.144, Anna Salai,
                       Chennai – 600 002.

                     2.The Chief Financial Controller / Revenue,
                       No.144, Anna Salai, Chennai - 600 002.

                     3.The Superintending Engineer,
                       Tamilnadu Generation and Distribution
                           Corporation Ltd., (TANGEDCO),
                       Formerly Known as TNEB,
                       Tuticorin Electricity Distribution Circle,
                       Tuticorin District.                           ... Appellants

                                                         Vs.
                     R.V.Ice Plant,
                     Rep. by its Proprietor, Arulraja,
                     Having its Office at C77/b2, Sipcot
                     Industrial Complex, Meelavittan,
                     Tuticorin District..                            ... Respondent


                     1/8

https://www.mhc.tn.gov.in/judis
                                                                                    W.A.(MD)No.550 of 2021


                     Prayer : Writ Appeal filed under Clause XV of Letters Patent, to allow
                     the writ appeal by setting aside the order dated 16.10.2020 in
                     W.P.(MD).No.14754 of 2020 on the file of this Court.

                                  For Appellants      : Mr.S.Deenadhayalan,
                                                            Standing Counsel.

                                  For Respondent      : Mr.S.Sades Kumar


                                                   JUDGMENT

(Judgment of the court was delivered by G.R.Swaminathan, J.)

Heard both sides.

2.R.V.Ice Plant, Tuticorin is a HT consumer. The case on hand

pertains to the assessment period from June 2020 to August 2020. The

petitioner felt aggrieved by the demand charges imposed by

TANGEDCO. Hence, the consumer filed W.P.(MD)No.14754 of 2020.

The writ petition was allowed vide order dated 16.10.2020 in the

following terms:-

“6. The learned counsel for the petitioner drew the attention of this Court, to the common order, dated 14.08.2020, passed in W.P.Nos.7678 of 2020 batch, by the learned Single

https://www.mhc.tn.gov.in/judis

Judge at the Principal Seat of this Court as well as the impugned disconnection notice, dated 13.10.2020, issued by the third respondent. This Court has perused the affidavit filed in support of the writ petition and as submitted by the learned counsel for the petitioner, the issue involved in the writ petition is identical to the issue, which is involved in WP.Nos.7678 of 2020 batch, wherein, final orders were passed by the learned Single Judge at the Principal Seat of this Court, on 14.08.2020, allowing the batch of writ petitions. Therefore, this Court is of the considered view that the petitioner should also have the benefit of the similar order as passed by the learned Single Judge at the Principal Seat of this Court, on 14.08.2020.

7.Accordingly, the impugned order is hereby quashed and the writ petition is allowed. Since, the writ petition is allowed, the petitioner is directed to pay the Current Consumption charges after deducting 80% demand charges and low power factor surcharges relating to the petitioner's bill raised for the bill months from June 2020 onwards (i.e. for the complete lock down period) within a period of four weeks from the date of receipt of a copy of this order. No costs. Consequently, connected miscellaneous petitions are closed.”

Questioning the same, this intra-court appeal has been filed by

TANGEDCO.

https://www.mhc.tn.gov.in/judis

3.It is beyond dispute that during the said period, the nation was

under complete lockdown. Therefore, the learned Single Judge was

justified in invoking Regulation 6(b) of the Tamil Nadu Electricity

Supply Code. It reads as follows:-

“6.Minimum Charges

(b) For the H.T services disconnected on the request of the consumer, the monthly minimum charges based on the KVA demand shall be the actual recorded demand (when the disconnection is for part of a month) or such percentage of sanctioned demand declared by the Commission whichever is higher:

Provided that where the Licensee is prevented from supplying electricity owing to cyclone, floods, storms, fire, strike or lockout in the Licensees’ establishment or other occurrences beyond the control of the Licensee, or if the Licensee is satisfied that the consumer has been prevented from consuming electricity either in whole or in part for similar reasons, the Licensee may recover from the consumer [minimum charges] at twenty percent of the billable demand or recorded demand whichever is higher besides charges for the actual consumption of electricity.”

4.However, the learned Single Judge committed an error in giving

a flat discount of 80% in favour of the writ petitioner. The aforesaid

https://www.mhc.tn.gov.in/judis

regulation as well as the batch order dated 14.08.2020 made in

W.P.Nos.7678 of 2020 only state that in such circumstances, the licensee

may recover from the consumer a minimum charge 20% of the billable

demand or recorded demand whichever is higher besides charges for the

actual consumption of electricity. In this case, the stand of the licensee /

appellant is that the recorded demand was much higher than 20%. Only,

if the establishment or unit had remained completely shutdown and there

was nil consumption of electricity, 20% of billable demand could be

levied. Where there was consumption and the recorded demand was

higher, then it is the recorded demand which has to be paid. Since this

aspect of the matter was not taken note by the learned Single Judge, We

are constrained to interfere. The matter is remitted to the file of the third

appellant. The third appellant will issue revised bill in respect of the

billable demand by applying Regulation 6(b) of the Tamil Nadu

Electricity Supply Code. Since the matter was pending consideration

before this Court and the consumer had also succeeded before the learned

Single Judge, the question of the consumer having to pay interest or

belated charge will not arise.

https://www.mhc.tn.gov.in/judis

5.This writ appeal is allowed accordingly. No costs.

Consequently, connected miscellaneous petition is closed.





                                                                      (G.R.S. J.,) & (M.J.R. J.,)
                                                                            13.02.2025
                     NCC                   : Yes/No
                     Index                 : Yes / No
                     Internet              : Yes/ No
                     ias






https://www.mhc.tn.gov.in/judis







https://www.mhc.tn.gov.in/judis





                                  G.R.SWAMINATHAN, J.
                                                and
                                     M.JOTHIRAMAN, J.

                                                          ias









                                                13.02.2025




https://www.mhc.tn.gov.in/judis

 
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