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Electricity Act, 2003 – Section 86(1)(f) – Claim of compensation by way of deemed generation due to shortage in fuel supply is the responsibility of the generator and not applicable in terms of PPA
Bysclaw
Mar 19, 2023By sclaw
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Andhra Pradesh Electricity Regulatory Commission (Distribution Licence) Regulations, 2013 – Special Economic Zones Act, 2005 – Sections 3 and 4 – Electricity Act – Section 14(b) – Whether a Special Economic Zone (SEZ) developer, deemed to be a distribution licensee under the Electricity Act, is required to make an application for a distribution license and comply with the conditions set out in the Electricity Rules and Regulations. – The appeal challenges the Appellate Tribunal for Electricity’s decision to require an appellant to infuse additional capital as a condition for being identified as a deemed distribution licensee – The court questioned whether a SEZ developer is ipso facto a deemed distribution licensee, obviating the need for an application under section 14 of the Electricity Act – The appellant argued that they are automatically a deemed distribution licensee by virtue of the 2010 Notification and that the conditions imposed by TSERC were in excess of jurisdiction – The respondents argued that the appellant must comply with the 2005 and 2013 Regulations and that TSERC is empowered to impose conditions to assess credit-worthiness – The Supreme Court partially allowed the appeal, setting aside the condition of additional capital infusion imposed by TSERC – The court reasoned that the appellant must apply to be recognized as a deemed licensee but is not subject to the additional capital requirements of regulation 12 and rule 3(2) – The court concluded that the appellant is required to make an application as per the 2013 Regulations, and the condition to infuse additional capital is not justified.
Jun 10, 2024
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Electricity Act, 2003 – Sections 62(3) and 111 – Levy of reliability charge – Maharashtra State Electricity Distribution Co. Ltd. imposed a reliability charge for uninterrupted power supply, which was challenged by JSW Steel Ltd – The appellant argued that non-participation in the public hearing by JSW Steel Ltd. amounted to consent to pay the charge – JSW Steel Ltd. argued that they were already paying a higher tariff and should not be subjected to the charge – The Tribunal set aside the Commission’s order imposing the charge, and the Supreme Court dismissed the appeal – The Court found no statutory basis for the charge and noted that JSW Steel Ltd. had already paid a higher tariff for continuous supply – The Supreme Court concluded that the appellant was not entitled to impose a reliability charge on customers like JSW Steel Ltd. and found no merit in the appeal.
Jun 3, 2024
sclaw