D. P. Wadhwa, J. - (1.) Leave granted.
(2.) The appellant-Graphite India Ltd. ('Graphite' for short) was getting electricity supply for its project from respondent- Durgapur Projects Ltd. ('DPL' for short), Graphite challenged the increase in tariff by filing three successive writ petitions in the Calcutta High Court. The learned single Judge of the High Court allowed the writ petitions holding that the enhancement of tariff and the notices of enhancement issued by DPL for fixation of electricity tariff were contrary to the provisions of Section 57 of the Electricity (Supply) Act, 1948 ('Supply Act' for short) read with the statutory requirements of Schedule VI of that Act, Against that judgment of the learned single Judge DPL filed an appeal before the Division Bench of the High Court which was allowed by the impugned judgment dated June 3, 1998. Writ petitions filed by Graphite were dismissed. Aggrieved Graphite has come to this Court.
(3.) Facts are not much in dispute. DPL was granted sanction by the State of West Bengal under Section 28(1) of the Indian Electricity Act, 1910 ('Electricity Act' for short) by order dated August 28, 1964 to engage in the business of supplying energy to the public in accordance with the conditions specified therein. Conditions 5, 6, and 9 are relevant and are as under:- "NOW THEREFORE, in exercise of the power conferred by sub-section (1) of Section 28 of the Indian Electricity Act, 1910 (Act 9 of 1 910), the Government is pleased, after consulting the West Bengal State Electricity Board, and with the consent of the local authorities concerned namely, the Faridpur Union Board, Durgapur Union Board, Gopalpur Union Board and Jomua Union Board, to give the said Durgapur Projects Limited (hereafter referred to as the sanction-holder), sanction to engage in the business of supplying energy within the said area, subject to the following conditions:- 5) that the provisions of Section 11, Section 17, Section 18 sub-sections (1) and (4) of Section 21, Section 24 and Section 26 of the Indian Electricity Act, 1910 (Act 9 of 1910) and the provisions of the Indian Electricity Rules, 1956, shall apply as if the sanction-holders were licensees; (6) that the rates for unit for supply of energy shall be fixed and adjusted from time to time in conformity with the provisions lai2d down to the Sixth Schedule to the Electricity (Supply) Act, 1948, and with the approval of the State Government; (9) that the sanction hereby given shall be liable to be rescinded or revoked in case the sanction holders fail to supply energy efficiently and satisfactorily or fail to comply with any of the conditions on which this sanction is granted." ;