UTTARANCHAL POWER CORPORATION LTD Vs. TEHRI HYDRO DEVELOPMENT CORPORATION
LAWS(ALL)-2008-5-26
HIGH COURT OF ALLAHABAD
Decided on May 19,2008

UTTARANCHAL POWER CORPORATION LTD Appellant
VERSUS
TEHRI HYDRO DEVELOPMENT CORPORATION Respondents

JUDGEMENT

- (1.) THIS appeal under Section 37 of the Arbitration and Conciliation Act, 1996 (hereinafter referred as 'act') has been filed by the Uttaranchal Power Corpo ration Ltd. against the order dated 13-07-2005 passed by District Judge, Tehri Garhwal, New Tehri in Misc. Case No. 26 of 2005, Tehri Hydro Development Corporation Ltd. Vs. Uttaranchal Power Corporation Ltd. & another.
(2.) BRIEF facts of the case are that an application under Section 9 of the Act was filed by the Tehri Hydro Devel opment Corporation (hereinafter re ferred as 'corporation') alleging therein that the Corporation is constructing a dam known as 'tehri Dam' which is a National Project. This Project was started in the year 1970 and the Cor poration came into existence in the year 1988. Before the creation of the Uttaranchal State, the Distribution of the Electricity was to be looked after by the Uttar Pradesh State Electricity Board and on 03-07-2002, there was an agree ment between the applicant/corporation and the Uttaranchal Power Corporation for distribution of the electricity. Accord ing to the case of the applicant, the elec tricity was supplied through RTS 2 and the bills were also supplied accordingly. On 25-05-2005, the Corporation inti mated the applicant that the additional charge of 25% would also be realized, on supply of the electricity w. e. f. 01-01-2002 and in case, if the additional charge of 25% is not paid by the Cor poration, the supply of the electricity would be disconnected. The Corpora tion, therefore, by way of this applica tion under Section 9 of the Act has prayed that the Uttaranchal Power Cor poration be restrained from realizing 25% of additional charge and also from disconnecting the electricity supply. The application of the Corpora tion was objected by the Uttaranchal Power Corporation with the pleadings that the Electricity Regulatory Commission, Uttaranchal vide order dated 01-01-2002 issued the tariff rate for RTS-7 which is at present RTS-8. The Regula tory Commission also directed that the additional charge of 25% is to be paid by the Corporation. It has also been pleaded that the matter pertains to in crease of the tariff and the Corporation is bound to pay the increased rate of tar iff. It has also been pleaded that the or der has been passed under Section 126 (4) of the Indian Electricity Act, 2003 and in case, if the Corporation had any objections against realization of 25% additional charge then he could have filed the appeal before the Regu latory Commission. The court below after hearing learned counsel for the parties and pe rusing the material available on record allowed the application and directed the Uttaranchal Power Corporation not to realize the additional charge of 25% and also not to disconnect electricity supply of existing electricity connection of the Corporation vide order dated 13-07-2008.
(3.) FEELING aggrieved by the aforesaid order, the Uttaranchal Power Corpora tion has filed this appeal before this Court. Heard Sri Alok Singh, learned Senior Advocate assisted by Ms. Mamta Joshi, learned counsel for the appellant, Sri U. K. Uniyal, learned Senior Advocate assisted by Sri Shobhit Saharia, learned counsel for the respondent and perused the record.;


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