Tribunal sets aside MERC order on REL plea

The appellate tribunal for electricity has set aside an order of Maharashtra Electricity Regulatory Commission (MERC) against Reliance Energy (REL) on a dispute related to billing complaints by REL customers in Mumbai.

In June last year, MERC had, while acting on a complaint of wrong billing and overcharging from a consumer, asked REL to refund the excess amount charged.

The commission had directed REL to refund the excess amount with interest charged at the rate of 12% for the period July 2004-July 2005 and at the rate of 18% thereafter.

REL challenged the verdict in the tribunal on the grounds that MERC did not have a jurisdiction on matters pertaining to billing disputes.

In its judgement, the tribunal agreed with REL's view and said that MERC could not have issued such an order.