Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | 1999: Regn. 45-B - Constitutional validity of Andhra Pradesh Electricity Regulatory Commission (Conduct of Business) Regulations |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Dismissed |
Headnote | Andhra Pradesh Electricity Regulatory Commission (Conduct of Business) Regulations, 1999: Regn. 45-B - Constitutional validity of - Whether Regn. 45-B is ultra vires the provisions of s.26(9) of the Act of 1998 or ss.61 and 62(4) of the Act of 2003 - Held: Regn. 45-B deals with determination of fuel surcharge ..:. The provisions of s. 61 contain principles 011 which the Commission has to act- Since fuel surcharge is not defined in the Act, as such the Commission has specified in its wisdomformulafor its calculation in Regn. 45-B-Thefuel surcharge fOrmula in Regn. 45-B is in consonance with the factors provided under ss.61 and 62 of the Act of 2003 and also the provisions contained in s.26 of the Act of 1998 - Andhra Pradesh Electricity Reform Act, 1998 - s.26 - Electricity Act, 2003 - ss.55, 61, 62. Regn. 45-B, condition (1) - FSA formula - Exclusion of consumption by agricultural sector till completion of metering of agricultural services whether bad in law and contrary to the mandate of s.55(1) of the Act of 2003 - Held: The provision made in condition No.I of Regn.45-B cannot be said to be repugnant to s.55(1) as it deals with the licensees obligation to supply electricity after two years only on the basis of metered supply - In the prevailing conditions. in particular plight of agricultural sector and purpose of enactment, it is open to the Commission to make such a wholesome _,_~provision carved out in condition No. I - Thus, there is no violation of the provisions contained in s.55(1) of the Act of 2003 - The consequence of s. 55 of the Act of 2003 cannot be that if metering is not achieved within two years the consumption in agricultural sector cannot be provided within the purview of FSA formula ~ Andhra Pradesh Electricity Regulatory Commission (Transitory Provisions for Determination of Tariff) Regulations, 2004.Regn. 45-B - FSA has been determined under Regn.45-B as amended in 2003 for more than a decade - Regulations of 2005 do not deal with determination of fuel surcharge - Submission that FSA can be realised in terms of Regulations of 2005' cannot be accepted since Regulations of 2005 do not deal with FSA and there is a saving clause as provided in Regn.24 - Andhra Pradesh Electricity Regulatory Commission (Terms and Conditions for Determination of Tariff for Wheeling and Retail Sale of Electricity), Regulation, 2005.Electricity Act, 2003: c D E Lapse of Regulations of 1999 - Held: Regn. 2 of Regulations of 2004 provides that Regulations of 1999 as amended from time to time under the Act of 1998 shall apply as regulation under the Electricity Act, 2003 and shall remain in force or till new regulations are notified by the Commission under the Act of 2003 - Thus submission that the Regulations of 1999 as amended in 2003 being G the tariff regulation under the Act of 1998, ceased to have effect on 10. 6.2004 after one year from the date of coming into force of the said Act, by reason of proviso to s.61 of the Act of 2003 is untenable - Andhra Pradesh Electricity Regulatory Commission (Conduct of ยท Business) Regulations, 1999 - Andhra Pradesh Electricity H Regulatory Commission (Transitory Provisions for Determination F , s. 65 - Exclusion of farmers from meeting the fuel surcharge adjustment charges - Whether amounts to violation of s.65 - Held: s.65 enables the State Government to make a provision for subsidy to any consumer or class of consumers - State Government has to pay in advance in such manner the amount to compensate the person affected by the grant of subsidy - Considering the pathetic condition of farmers and inability to face the burden, the State Government, gave them certain concessions in the form of subsidy - However, the Commission had excluded them from meeting the fuel surcharge adjustment charges - Provision of s.65 relating to subsidy by the State Government is not at all attracted - The matter involved in the present case is not of subsidy but determination of fuel surcharge formula - Thus, the submission based upon the violation of the provision of s.65 is wholly unwarranted and is liable to be rejected as subsidy has not been included in the determination of fuel surcharge.of Tariffj Regulations, 2004 - Andhra Pradesh Electricity Reform Act, 1998. A Fuel surcharge - Determination of, taking variation in cost of rupee in account - Held: The fuel surcharge is determined as per the formula which takes into account the change in cost of rupeefor a period extending in the past beyond the relevant quarter. Andhra Pradesh Electricity Reform Act, 1998: s.26(2) - A/legation of discriminatory tariffs vis-a-vis agricultural section - Held: Differential treatment is permissible within the ken of the provisions of s.26 - As provided in s.26(8) in case consumers are similarly placed same tariff has to be applied - Agriculturists and consumers like appellants cannot be said to be similarly placed - Paying capacity is also one of the factors which can be used for protective discrimination under discriminatory tariffs as provided in s.26(7)(a). Tax/Taxation: Surcharge - Meaning of - 'Sur<;,harge' is basically over and above main levy and is in the form of additional charge - The nature of surcharge has to be considered as per intendment in which it has been used in the enactment. Administrative law: Judicial review - Fixingthe rate of fuel surcharge - Scope of interference - Discussed. |
Judge | Hon'ble Mr. Justice Arun Mishra |
Neutral Citation | 2016 INSC 502 |
Petitioner | Sai Bhaskar Iron Ltd. |
Respondent | A.p. Electricity Regulatory Commission & Ors. |
SCR | [2016] 6 S.C.R. 995 |
Judgement Date | 2016-07-05 |
Case Number | 5542 |
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