RAMCO INDUSTRIES Vs. ANDHRA PRADESH STATE ELECTRICITY BOARD
LAWS(SC)-2000-8-48
SUPREME COURT OF INDIA
Decided on August 30,2000

RAMCO INDUSTRIES Appellant
VERSUS
ANDHRA PRADESH STATE ELECTRICITY BOARD Respondents

JUDGEMENT

- (1.) Against demand notice issued by the divisional Engineer (Electrical Operation) of the Andhra Pradesh State Electricity board on 5.5.1997, calling upon the petitioners that since two services were existing in their premises at Kodad for carrying on rice milling business and the total connected load exceeded 75 H. P. , they were required to convert the installation into H. T. under one name, the petitioners filed writ petitions in the High Court wherein they also challenged the validity and vires of Condition No. 27 of the terms and conditions, dated 9.3.1990 for supply of electricity. Condition No. 27 reads thus : "27.For the purpose of these terms and conditions of supply, establishments: 27.1 having distinct set up and staff or 27.2. owned or leased by different persons or 27.3 covered by different licences or registrations under any law where such procedures are applicable will be deemed to be separate establishments provided that the Board may treat at its discretion two or more separate establishments situated within a single premises owned or leased by the same person and requiring electricity for purposes covered under same category of tariff, as single establishment. "
(2.) In the writ petitions, the petitioners, with a view to establish that they were not required to take a H. T. connection because the two units did not come within the parameters of Condition No. 27, inter alia averred: "The petitioners later with plans to start new related business have taken up licences for manufacturing of paraboiled rice and the like and have established separate units (Mills) by constructing separate buildings and with separate establishments with the different partners and applied for L. T. connection to the new units as each of such new unit is also having less than 75 H. P. and thus fall under LT. category. The 1st respondent agreed again by separate arguments to release power under L. T. system and the petitioners with huge expenditure have established the units and are availing electricity supply under the said L. T. agreements. "
(3.) In the counter affidavit filed, (pages 110-111 of the paper book) , the Electricity board stated thus: "It is submitted that the petitioners above, rice mills and paraboiled industry, are partnership firms having the same members in both the firms. Both the units are one and the same carrying on business in paraboiled paddy. There is pipe connection between these units. Thus, the boiled paddy is transferred from one unit to the other unit for rice milling through pipe. This fact clearly shows that both the units are one and the same and for the purpose of escaping the consequences of High Tension connection, the petitioners have obtained two Low Tension connections. Both the units are located in the same premises, owned by the same person/persons and connected with the electricity for purposes under same category of tariff as single establishment. ";


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