U.P.Power Corp.Ltd vs National Thermal Power Corp. Ltd. & Ors

2. At the request of the learned counsel appearing for the parties, all these appeals are heard together as similar issues are involved in all these appeals. Central Electricity Regulatory Commission (hereinafter referred to as the `Central Commission') had determined 2 tariff for generation and sale of electricity generated by different units of the respondent-National Thermal Power Corporation Limited for the period commencing from 1st April, 2001 to 31st March, 2004 and for some other periods. The tariff so determined was challenged by the respondent before the Appellate Tribunal for Electricity by filing several appeals. The said appeals and Review Petition were decided by different orders and all such orders have been challenged in the aforesaid appeals filed before this Court.

4. Generation of electricity is regulated by the government authorities. The respondent has several power plants in the country and electricity is generated at those power plants. The electricity so generated is sold to several State Electricity Boards. There are 3 regulations which determine the price at which the electricity generated by the respondent is to be sold to State Electricity Boards and the electricity so generated is transmitted to the ultimate consumers through the State Electricity Boards. The generation and sale of electricity by the respondent is regulated under the provisions of Electricity Act, 2003 and prior to enactment of the aforestated Act, it was regulated by the Central Commission under the Provisions of Electricity Regulatory Commissions Act, 1998 (hereinafter referred to as "the Act"). The said Act came into force with effect from 25th April, 1998 and prior thereto the tariff for generation and sale of electricity was determined by the Central Government under the Provisions of the Electricity Supply Act 1948. Under the said provisions, the Central Government used to issue tariff notifications from time to time for determining the tariff, i.e. the rate at which electricity generated by the respondent was to be sold to the State Electricity Boards.

5. The Central Government had issued Tariff Notification dated 30th April, 1994 determining tariff for the generation and sale of electricity from the Kawas Gas Power Station for the period commencing from 1st January, 1993 to 31st March, 1998. 4 Thereafter, another Notification dated 21st December, 2000 was issued whereby it was directed that the conditions incorporated in notification dated 30th April, 1994 would continue to be applicable even for period commencing from 1st April, 1998 to 31st March, 2001. We are also concerned with determination of tariff for the aforestated period and for other periods in respect of some other plants of the respondent.

6. The tariff so determined was subject matter of the present litigation before the Central Commission and the Tribunal. The respondent was aggrieved by the determination of tariff and, therefore, the order determining tariff had been challenged by the respondent before the Tribunal. The final order passed by the Tribunal with regard to the determination of tariff was reviewed in pursuance of a Review Petition filed by the respondent. Orders passed in the Review Petition as well as original order passed by the Tribunal are subject matter of these appeals.

13. Looking to the aforestated legal position and in view of the technical aspect involved in the impugned order with regard to determination of tariff, which we prima facie find to have been determined in a just and proper manner, we are of the view that the conclusion arrived at by the Tribunal in the impugned orders do not appear to be unreasonable or unjustified and therefore, in our opinion the impugned orders require no interference by this Court and, therefore, all these appeals are dismissed with no order as to costs.