Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Electricity Act |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case(s) Referred | Referred Case 0 Referred Case 1 Referred Case 2 Referred Case 3 Referred Case 4 Referred Case 5 Referred Case 6 Referred Case 7 Referred Case 8 Referred Case 9 Referred Case 10 Referred Case 11 Referred Case 12 Referred Case 13 Referred Case 14 Referred Case 15 Referred Case 16 Referred Case 17 Referred Case 18 Referred Case 19 Referred Case 20 Referred Case 21 Referred Case 22 |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Dismissed |
Headnote | Electricity Act, 2003:supervision in directing the appellant to make payment of LPS within the time stipulated – APTEL rightly upheld the direction – In any case, such a direction cannot be interfered with in exercise of powers u/s. 125 – Code of Civil Procedure, 1908 – s. 100. s. 125 – Appeal to Supreme Court – Grounds for – Held: Appeal lies to this Court u/s 125 only on grounds permitted u/s 100 CPC – Condition precedent for entertaining an appeal u/s 124 is the existence of a substantial question – Code of Civil Procedure, 1908 – s. 100. Maharashtra Electricity Regulatory Commission(MERC) – Power of – Held: MERC constituted under the Electricity Act, 2003 has all the trappings of a Court – MERC is a substitute for a Civil Court in respect of all disputes between licensees and Power Generating Companies.s.125 – Appeal to Supreme Court – Interference with – Power purchase agreements – Change in law –On facts, petition u/s. 86 by the appellant-State Electricity Distribution Company seeking that the change in interest rate system by the RBI from Prime Lending Rate (PLR) to Base Rate and then to Marginal cost of funds based lending rate (MCLR) constituted change in law under the power purchase agreements between the appellant and the “Power Generating Companies”, so as to alter the rate of Late Payment Surcharge(LPS) payable by the appellant to the power generating companies – Dismissed by the Maharashtra Electricity Regulatory Commission (MERC) and issuance of direction to the appellant to make payment of LPS within the time stipulated – Said order upheld by the Appellate Tribunal for Electricity – On appeal, held: Existence of substantial question of law is sine qua non for second appeal u/ s 125 r/w s. 100 CPC – This Court would not make a factual enquiry into the mode and manner in which the Power Generating Companies meet their working capital requirements and interest that individual Power Generating Companies pay to their lenders – Thus, no substantial question of law involved in the instant appeal – RBI notifications would tantamount to a change in law, however the notification relating to alteration of the lending rates chargeable by banks and financial institutions are not laws which relate to the Power Purchase Agreements and are not applicable to the appellant or to the Power Generating Companies engaged in distribution of electricity and not of advancing loans –Furthermore, courts cannot rewrite contract mutually executed by parties – Explicit terms of contract always the final word with regard to intention of parties – Thus, MERC acted within the scope of its power of regulatory |
Judge | Hon'ble Ms. Justice Indira Banerjee |
Neutral Citation | 2021 INSC 644 |
Petitioner | Maharashtra State Electricity Distribution Company Limited |
Respondent | Maharashtra Electricity Regulatory Commission & Ors. |
SCR | [2021] 5 S.C.R. 1056 |
Judgement Date | 2021-10-08 |
Case Number | 1843 |
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