Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Government Policy concessional tariff |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Administrative Law: Government Po/icy-Offering of concessional tariff to new industrial C unit for period of five years from the date of commercial production, if production commenced between specified period-Industrial unit claiming incentive of concessional tariff even though it did not have commercial production by the date specified-Held, since industrial unit could not start commercial production due to non-supply of power, it would not be equitable to deny relief by giving literal interpretation to the incentive claim of the Government-Thus, on equitable consideration concessional tariff to be granted for period of three years. The question which arose in these appeals was whether an industrial unit could claim the benefit of the policy announced by the State Government offering concessional rate of tariff and electricity duty to new industries for a period of five years from the date of commercial production, if the production commenced between 1.1.1992 and 31.12.1996, notwithstanding the fact that thereĀ· was delay in production due to inaction on the part of the State Electricity Board in providing the necessary electric connection. Appellant contended that when the appellant was persuaded to set up the industry being lured by incentive of getting the concessional power tariff for a period of five years, Board cannot be permitted to prevent such a benefit by its own failure to provide power, which prevented appellant from starting commercial production by 31.12.1996. Respondent contended that since appellant's manufacturing unit did not start commercial production within the stipulated period, the benefit of the concessional tariff under the policy has rightly been denied; that even if for certain latches on the part of the Board, appellant may be entitled to an equitable consideration, but in the matter of incentive granted under the policy decision by Government, no manufacturing unit could claim the benefit, so long as the conditions precedent of the applicability of policy resolution have not been satisfied; and that appellant himself was not in a position to start commercial production within the stipulated time. |
Judge | Honble Mr. Justice G.B. Pattanaik |
Neutral Citation | 2002 INSC 524 |
Petitioner | Hitech Electrothermics And Hydropower Ltd. |
Respondent | State Of Kerala And Ors. |
SCR | [2002] Supp. (5) S.C.R. 128 |
Judgement Date | 2002-12-17 |
Case Number | 8322 |
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