JUDGEMENT
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(1.) This judgment shall dispose of the two appeals being CA No. 4269 of 2006 and CA No. 4270 of 2006. Civil Appeal No.4269/2006 has been filed on behalf of North Delhi Power Limited and Civil Appeal No.4270 of 2006 has been filed by BSES Rajdhani Limited. Since a common question falls for consideration in both the appeals, the same are disposed of by this common judgment. The question can be framed as under:
"Whether the appellants are responsible for meeting the
liabilities relating to employees who ceased to be the
employees of erstwhile Delhi Electric Supply
Undertaking (Predecessor of Delhi Vidhyut Board -
DVB) prior to 1.7.2002 on account of their retirement,
removal, dismissal or compulsory retirement in
accordance with the provisions of Delhi Electric
Reforms Act, 2000 -
By the impugned judgment dated 30.3.2006 passed by the Delhi High Court, the High Court has held that the appellants alone would be responsible to meet such liabilities.
(2.) In order to understand the nature of controversy and the ramifications thereof, some facts common to both these appeals would be necessary.
(3.) The Legislative Assembly of the National Capital Territory of Delhi passed the Act on 23.11.2000 being Delhi Electric Reforms Act, 2000 (hereinafter called the "Act, 2000"). This Act came into force on 8.3.2001. The Preamble of this Act reads as under:
"An Act to provide for the constitution of an Electricity
Commission, restructuring of the electricity industry
(rationalization of generation, transmission, distribution
and supply of electricity), increasing avenues for
participation of private sector in the electricity industry
and generally for taking measures conducive to the
development and management of the electricity industry
in an efficient, commercial, economic and competitive
manner in the National Capital Territory of Delhi and for
matter connected therewith or incidental thereto.
BE it enacted by the Legislative Assembly of the
National Capital Territory of Delhi in the Fifty-first year of
the Republic of India as follows:"
Section 2 pertains to definitions of relevant terms used in the Act and sub-section (1) contains the definitions clauses. Sub-sections (2) and (3) of Section 2 run as under:
"(2) Words and expressions used but not defined in this Act
and defined in the Electricity (Supply) Act, 1948 (Central
Act 54 of 1948) have the meanings respectively
assigned to them in that Act.
(3) Words and expressions used but not defined either in
this Act or in the Electricity (Supply) Act, 1948 (Central
Act 54 of 1948) and defined in the Indian Electricity Act,
1910 (Central Act 9 of 1910) have the meanings
respectively assigned to them in that Act."
Thus the definitions of relevant terms under Electricity (Supply) Act, 1948 and Electricity Act, 1910 were incorporated in the Act, 2000. Section 3 of the Act, 2000 provides for establishment of Delhi Electricity Regulatory Commission. The functions of this Commission are provided in Section 11. Some of the functions, amongst others, as provided in Section 11 (1) are as under:
"(c) to regulate power, purchase and procurement process
of the licensees and transmission utilities including the
price at which the power shall be procured from the
generating companies, generating stations or from other
sources for transmission, sale, distribution and supply in
the National Capital Territory of Delhi;
(d) to promote competition, efficiency and economy in the
activities of the electricity industry to achieve the objects
and purposes of this Act;
(e) to aid and advise the government in matters concerning
electricity generation, transmission, distribution and
supply in the National Capital Territory of Delhi;
(h) to promote competitiveness and make avenues for
participation of private sector in the electricity industry in
the National Capital Territory of Delhi and also to ensure
a fair deal to the customers;
(k) to regulate the assets, properties and interest in
properties concerned or related to the electricity industry
in the National Capital Territory of Delhi including the
conditions governing entry into, and exit from the
electricity industry in such manner as to safeguard the
public interest;
(l) to issue licences for transmission, bulk supply,
distribution or supply of electricity and determine the
conditions to be included in the licences;";
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