JUDGEMENT
A.M.KHANWILKAR,J. -
(1.) Leave granted.
(2.) This appeal takes exception to the judgment and order of the High Court of Punjab and Haryana at Chandigarh passed in C.W.P.
No.25337 of 2015 (O & M) dated 23 rd November, 2016. The
appellants had challenged the fourth amendment to Haryana
Electricity Regulatory Commission (Terms and Conditions for
determination of Tariff from Renewable Energy Sources, Renewable
Purchase Obligation and Renewable Energy Certificate) Regulations,
2010 (for short, "principal Regulations") published vide notification dated 12th August, 2015 (for short, "impugned
Amended Regulations") which sought to amend the principal
Regulations. The appellants had also challenged the order passed
by the respondentCommission dated 4th August, 2015, in
furtherance whereof, the impugned Amended Regulations were
framed by the appropriate authority for revision of norms for
determination of generic tariff for the second control period
beginning from 1st April, 2013.
(3.) The appellants had set up a 9.90 MW independent Biomass Power Plant, which was declared commercially operational on 3 rd
May, 2013. The principal Regulations were notified on 3 rd February,
2011, providing for the norms and parameters for determination of tariff for various renewal energy project developers. As per
Regulation 4 of the principal Regulations, the first control period of
three years was to end on 31st March, 2013. The third proviso of
Regulation 4 posits that in case, the regulations for the next control
period were not notified after the expiry of the first control period,
the tariff norms as per these regulations (principal Regulations)
would continue to apply until notification of the revised regulations,
subject to adjustments as per the revised regulations. As the first
control period had already ended, the appropriate authority
initiated suo motu proceedings for revision of tariff and issued draft
fourth amendment to the principal Regulations, seeking to amend
Regulation 4 and including Regulation 5 of the principal
Regulations. This draft amendment was issued on 29 th December,
2014. Pursuant thereto, the concerned parties submitted their response. After giving opportunity to all concerned, the Commission
proceeded to pass an order dated 4th August, 2015, which attempts
to analyse and adjudicate all the issues raised by the concerned
parties. On the basis of the said order, the impugned Amended
Regulations came to be notified. The effect whereof was to deny the
applicability of tariff norms adjustments to the appellant No.1,
which had commenced its commercial operations on 3rd May, 2013.
The said amendment has been given prospective effect qua the
appellants. It has made classification between the projects
commissioned/to be commissioned in financial years 201314 on
the one hand and 201415, 201516 and 201617 on the other,
without any intelligible differentia or any rational basis therefor.
Neither the principal Regulations nor the impugned Amended
Regulations envisage classification on the basis of commissioning of
renewable energy projects in a particular financial year during the
same control period. Similarly, the regulations do not envisage
determination of separate tariff on such differentiation. Indeed, the
authority has been invested with power to determine project specific
tariff under Regulation 6. In the present case, however, the power
exercised by the Commission is indisputably with reference to
Regulation 4 namely, to determine a generic tariff for the control
period commencing from 1st April, 2013 and ending with financial
year 201617 i.e. 31st March, 2017, for a period of 4 years.;
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