HON’BLE SRI JUSTICE A. RAJASHEKER REDDY Writ Petition No.15501 of 2014 Date: 13-06-2014 Between:
M/s. Udaya Krishna Steel Rolling Mills Pvt. Ltd., Represented by its Managing Director, Medak District.
.. Petitioner AND The Southern Power Distribution Company of Telagana Ltd., represented by its Chairman and Managing Director, Mint Compound, Hyderabad and 3 others .. Respondents HON’BLE SRI JUSTICE A. RAJASHEKER REDDY Writ Petition No.15501 of 2014 ORDER:
This writ petition is filed seeking a mandamus to declare the action of the respondents in not granting 10 equal instalments for payment of C.C. charges pursuant to the petitioner’s representation dated 01-04-2014 and further issuing C.C. Bills demanding the petitioner to pay the minimum charges beyond four months from disconnection of power supply for the months of April and May, 2014 and Additional Consumption Deposit for the year 2013-2014 without any notice of such review as arbitrary and illegal and consequently to set aside the demand of minimum charges and ACD and surcharge thereon as demanded in the CC bills and also direct the respondents to grant instalments in terms of the representation of the petitioner and to restore the power supply to the petitioner’s service connection No.MDK-1368.
2. The case of the petitioner is that the petitioner is a company incorporated under the provision of Companies Act, 1956 and engaged in the business of manufacture and sale of steel and allied products. The petitioner initially entered into HT agreement with the 1st respondent for availing power supply with a CMD of 9800 KVA with H.T. service Connection No.MKD-1368. It is stated that the petitioner company is a continuous process industry requiring uninterrupted power supply for its manufacture process and availing the restricted power supply from the 1st respondent as per R & C orders issued by the APERC. The petitioner, due to recession in the market and severe power cuts imposed, could not operate the plant and defaulted in payment of CC bills for the months of October 2013 and November 2013, as such, the power supply to the service connection of the petitioner was disconnected on 30-11-2013. Thereafter, on the request of the petitioner to derate the CMD from 9800 KVA to 70 KVA, the respondents issued orders on 28-01-2014 derating the same. Thereafter, the petitioner made an application on 02-04-2014 for grant of instalments for payment of arrears, if any, pursuant to which the respondents granted instalments vide proceedings in Lr.No.CGM (Comml.)/SE(C)/DE(C)/ADE-III/D.No.316, dated 29-
04-2014 permitting the petitioner to pay the outstanding arrears amount as per the schedule given thereunder. Aggrieved by the action of the respondents in granting only three instalments instead of 10 instalments as requested by the petitioners and also the action respondents in demanding the petitioner to pay minimum charges beyond four months from disconnection of power supply for months of April and May, 2014 and Additional Consumption Deposit for the year 2013-2014, the present writ petition is filed.
3. Learned counsel for the petitioner submits that the petitioner industry was closed and the petitioner industry applied for loan for restarting the industry and the State Bank of Hyderabad, L.B. Nagar Branch, through letter dated 29-03-2014 sanctioned credit facilities for payment of electricity bills and that the petitioner industry made some payments for restoration of power supply and that on payment of some amounts, the power supply was restored and that for payment of the balance outstanding amounts, the petitioner seeks instalments.
4. On the other hand, the learned standing counsel for the respondents submits that the petitioner has paid meagre amounts and due to non-payment of consumption charges, the power supply was disconnected. He also submits that unless substantial amount is paid, the power supply cannot be restored.
5. In the instant case, the petitioner industry is closed and for payment of electricity bills, the State Bank of Hyderabad issued proceedings sanctioning credit facilities for payment of electricity bills consequent upon which, the petitioner industry made some payment and now the petitioner is willing to pay some amounts and the petitioner made a representation on 28-05-2014 to the respondents for determining the liability regarding minimum charges to be payable from the date of disconnection.
6. Therefore, in view of the above facts and circumstances, I deem it appropriate to direct the respondents to restore the power supply on condition of the petitioner depositing an amount of Rs.3,50,00,000/- (Rupees three crores and fifty lakhs only), subject to payment of balance amount in six equal monthly instalments. However, the petitioner shall pay the regular consumption charges. In the event of any default in payment of any one of the instalments or the regular consumption charges, it is open for the respondents to take appropriate action.
7. With the above directions, the writ petition is disposed of. There shall be no order as to costs. As a sequel thereto, miscellaneous petitions, if any, pending in the writ petition, shall stand closed.
A. RAJASHEKER REDDY, J Date: 13-06-2014 Note: Issue C. C. tomorrow B.O./Ksn