JUDGEMENT
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(1.) Maharashtra State Electricity Distribution Company Limited (hereinafter referred as 'the Petitioner' or 'MSEDCL') filed a Petition under Sections 61 and 65 of the Electricity Act, 2003
(EA, 2003) read with Regulation 85 of MERC (Terms and Conditions of Tariff) Regulations,
2005 on 30 January, 2014 for implementation of Government Resolution (GR) dated 29 January, 2014 and thereby approval for support of Rs. 100 crore per month from MSPGCL and MSETCL.
(2.) The prayers of the Petitioner are as under:
"1. To admit this under the provisions of the Electricity Act 2003, MERC (Terms and Conditions of Tariff) Regulations, 2005 and MERC (Conduct of Business) Regulations, 2004; 2. To approve the support as envisaged by MSPGCL and MSETCL to the extent of Rs. 100 Crs per month; 3. With the support of Government of Maharashtra of Rs. 606 Crs and Rs. 100 Crs per month from MSPGCL and MSETCL, tariffs of the selected categories of consumers shall be as per the Annexure A of the GR No. Sankirna 2013/Pr.Kr.278/(Bhag -1)/Urja -5 dtd. 29.01.2014 which Hon'ble Commission may please note. 4. To pass any other order as the Hon'ble Commission may deem fit and appropriate under the circumstances of the case and in the interest of justice. 5. To condone any error / omission and to give opportunity to rectify the same. 6. To permit MSEDCL to make further submissions, addition and alteration to this petition as may be necessary from time to time".
(3.) The Petitioner in its Petition submitted as under:
a) The State Government vide GR dated 13 September, 2013 formed a Committee to discuss and deliberate on electricity tariff issues in the State of Maharashtra. The Committee had detailed discussions and deliberated on the various provision of the Electricity Act, 2003 (or the EA, 2003), difficulties faced by consumers, financial health of three State owned companies and overall social scenario.
b) The Committee has proposed to give subsidy in electricity tariff applicable to consumers under category of Residential (consuming less than 300 units per month), Industrial, Commercial and Agriculture consumers of MSEDCL so as to reduce the tariff applicable to these consumer categories.
c) The Committee proposed to provide subsidy to the Petitioner to reduce the tariff of the consumers by way of direct subsidy and partial support from MSPGCL and MSETCL so that the Petitioner is revenue neutral.
d) Government of Maharashtra vide GR dated 29 January, 2014 has taken decision to provide the relaxation in electricity tariff of above mentioned consumer categories. The effect of this reduction in tariff will necessitate a revenue support of approximately Rs.706 crore per month to the Petitioner.
e) As per GR dated 29 January, 2014, the Government of Maharashtra will provide a direct subsidy of Rs. 606 crore per month under section 65 of the Electricity Act, 2003 and the balance amount of Rs. 100 crore per month will be provided as a support from MSPGCL and MSETCL.
f) As mentioned in the said GR, MSPGCL and MSETCL needs to provide Rs 100 crore per month as a support for reducing tariff of above said consumer categories. MSPGCL and MSETCL have consented for the same and provided an undertaking for same on affidavit.
g) Accordingly, the Commission's approval is required for such support of Rs. 100 crore per month which is to be provided by MSPGCL and MSETCL. ;
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