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Calcutta Hc Sets Aside Power Tariff

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Our Law Correspondent BUSINESS STANDARD
Last Updated : Feb 06 2013 | 9:04 PM IST

The Calcutta High Court today set aside the interim tariff order passed by the West Bengal State Electricity Regulatory Commission (ERC) which increased the tariff of all consumers under the West Bengal State Electricity Board (WBSEB) by 52 paisa per unit with effect from April 1, 2003.

Some corporate consumers in the state challenged the order of ERC passed on April 23, 2003 before the division bench of the High Court.

The bench of Justice Samaresh Bannerjea and Justice S P Talukdar allowed the appeal and said that ERC will pass final order on the issue after hearing all classes of consumers under WBSEB.

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Indian Rayon, Eastern India Textile Mills Association, Metro Railway and others had filed the appeal on the ground that the interim tariff rate was made without any valid calculation and without hearing concerned parties. The interim order of ERC should be quashed, they said.

The court held that although ERC had the power to increase tariff, it had to be done with valid reasons. The commission could not hike the tariff at a flat rate ignoring the different classes of consumers.

The bench also made it clear that the money WBSEB had already collected from consumers should be refunded or adjusted after final order of ERC on the issue. ERC may move the Supreme Court.

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First Published: Sep 09 2003 | 12:00 AM IST

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