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Punjab State Electricity Board And ... vs Hari Singh
2026 Latest Caselaw 2053 P&H

Citation : 2026 Latest Caselaw 2053 P&H
Judgement Date : 6 March, 2026

[Cites 2, Cited by 0]

Punjab-Haryana High Court

Punjab State Electricity Board And ... vs Hari Singh on 6 March, 2026

Author: Suvir Sehgal
Bench: Suvir Sehgal
RSA-34-1995 and RSA-345-1995                          -1-

        IN THE HIGH COURT OF PUNJAB AND HARYANA AT

                               CHANDIGARH

                                                                  RSA-34-1995

Punjab State Electricity Board, Patiala and another           ...Appellants

                                     Versus

Hari Singh                                                    ...Respondent

                                                                 RSA-345-1995

Punjab State Electricity Board, Bathinda                      ...Appellant

                                     Versus

Hari Singh                                                    ...Respondent

Judgment Judgment         Judgment     Whether only the           Whether the
Reserved pronounced       uploaded on operative part of           full judgment
on       on                            the judgment is            is
                                       pronounced                 pronounced
02.02.2026     06.03.2026   06.03.2026       NO                         YES


CORAM: HON'BLE MR. JUSTICE SUVIR SEHGAL

Present:- Mr. Karanjeet Singh, Advocate, for
          Mr. Amar Vivek Aggarwal, Advocate
          for the appellant(s) in both cases.

          None for the respondent in both cases.
                    ...

SUVIR SEHGAL, J. (Oral)

1. This order shall dispose of both above noted appeals, as they involve

common questions of law and fact.

2. For the sake of convenience, factual position is being taken from

RSA-34-1995.

3. Appellants-defendants are in second appeal assailing concurrent

finding recorded before Trial Court as well as First Appellate Court.


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 RSA-34-1995 and RSA-345-1995                           -2-

4. Respondent-plaintiff filed a suit for declaration and permanent

injunction averring that he is running a factory of cotton ginning and spinning

and is entitled to all benefits of a seasonal industry as per sales manual

instructions. It has been pleaded that plaintiff has been complying with all

conditions of the instructions. Plaintiff has a contract demand of 300 KVA and

a meter of HT type was installed in November, 1989. When plaintiff realized

that meter was not working properly, he sent an intimation on 09.11.1989, Ex.

P-1, which was followed by a reminder dated 21.11.1989, Ex. P-2, but

defendants did not change the meter. Defendants sent an ad hoc bill for month

of November 1989, on the basis of consumption for month of November 1988,

which plaintiff deposited under protest. Challenging the ad hoc billing, plaintiff

filed a suit for declaration. Upon notice, suit was contested by defendants,

wherein seasonal nature of work carried by plaintiff was admitted. It was

conceded that plaintiff had been informing defendants regarding operation of

factory premises. It was averred that on receiving intimation, Ex. P-1, meter

was tested by Mobile Meter Testing Squad on 22.02.1990, and it was found

that counter of KWH meter was not moving due to an internal defect. KVAH

meter was found to be 3.14% fast and MDI was running fast by 3.04%. It has

been stated that bill has been issued on the basis of consumption of November,

1988. On basis of pleadings of parties, issues were framed by Trial Court and

both parties led evidence in support of their respective stand. After hearing the

parties, suit was partly accepted by Trial Court vide judgement and decree

dated 30.07.1992. Defendants were restrained from making a recovery of

disputed bill. Appeal filed by defendants was rejected by learned Additional

District Judge vide judgment dated 14.05.1994. Hence, the present second

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RSA-34-1995 and RSA-345-1995 -3-

appeal.

5. By making a reference to circular No.11/1990, Ex. P-6, counsel for

the appellants has argued that appellants-defendants had specified schedule of

rates and method of arriving at these rates, which had been charged from

respondent. He urges that criteria for levying consumption charges has been

laid down in sales manual as per which if one of meter component is not

working, calculation through other methods, load capacity and power

consumed can be arrived at. Counsel asserts that demand raised was valid as

per regulations framed by appellants and findings recorded by both the Courts

are erroneous.

6. There is no representation on behalf of respondent.

7. I have heard counsel for the appellants and considered his

submissions besides examining requisitioned record.

8. The admitted case of parties is that there is a snag in the electricity

meter. The stand taken by appellants in their written statement and also

evidence laid by them is that counter of KWH meter was not moving due to an

internal defect. KVAH meter and MDI were found to be running fast. It is,

therefore, evident that meter was defective. Section 26 of The Indian Electricity

Act, 1910 (for short "the Act"), casts an obligation of electricity board to ensure

that electricity meter is functional and running normally. Sub Section (6) to

Section 26 ibid lays down that in case of any dispute or difference as to whether

any meter is serviceable or not, such a dispute shall be referred to an Electrical

Inspector by either of parties by moving an application. Where an Inspector

finds that meter has ceased to be functional, he shall estimate amount of energy

supplied to consumer during the period of defect and shall levy charge for the

3 of 5

RSA-34-1995 and RSA-345-1995 -4-

same for a period not exceeding six months. Relevant statutory provision reads

as under:-

"26. Meters -

(1) to (5) X X X (6) Where any difference or dispute arises as to whether any meter referred to in sub-section (1) is or is not correct, the matter shall be decided, upon the application of either party, by an Electrical Inspector; and where the meter has, in the opinion of such Inspector ceased to be correct, such Inspector shall estimate the amount of energy supplied to the consumer or the electrical quantity contained in the supply, during such time, not exceeding six months, as the meter shall not, in the opinion of such Inspector, have been correct; but save as aforesaid, the register of the meter shall, in the absence of fraud, be conclusive proof of such amount or quantity.

Provided that before either a licensee or a consumer applies to the Electrical Inspector under this sub-section, he shall give to the other party not less than seven days' notice of his intention so to do."

9. This provision came up for interpretation in Madhya Pradesh

Electricity Board and others Versus Smt. Basantibai, (1988) 1 SCC 23.

Hon'ble Supreme Court has held that dispute as to whether meter is or is not

correct or it is inherently defective or faulty, not recording correctly the

electricity consumed, can be decided by an Electrical Inspector under the

provisions of the Act. Till the time decision is made, no supplementary bill can

be prepared by Electricity Board estimating energy supplied to consumer as

Board is not empowered to do so by the Act. It has been clarified that Board

cannot threaten to disconnect electricity supply on account of non-payment of

supplementary bill, in the case of a inaccurate meter. This view has been

followed by a co-ordinate Bench of this Court in M/s Tej Alloys Limited

Versus Punjab State Electricity Board and another, 2019 (3) PLR 655. The

ratio of the judgments is fully applicable to the facts of present case. As

electricity meter installed in the premises of plaintiff was defective, without

4 of 5

RSA-34-1995 and RSA-345-1995 -5-

getting dispute settled from an Electrical Inspector, appellants could not have

raised a bill on ad hoc basis and demand charges from plaintiff-respondent.

10. As a result of the above discussion, this Court does not find any

infirmity in findings recorded by Trial Court and First Appellate Court.

However, it is clarified that till the time dispute is not referred to and

adjudicated by an Electrical Inspector or any other officer/authority/forum

competent to do so under The Electricity Act, 2003, appellants cannot raise any

demand from respondent. Judgment and decree passed by both the Courts are

modified to this extent.

11. Both the appeals are disposed of.




                                                               (SUVIR SEHGAL)
                                                                   JUDGE
06.03.2026
Pardeep

        Whether Speaking/Reasoned                     Yes
        Whether Reportable                            Yes




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