BINANI ZINC LIMITED Vs. KERALA STATE ELECTRICITY BOARD

JUDGEMENT

(1.) THE petitioner, a Public Limited Company incorporated under the Companies Act, 1956, challenges Ext.P16 Government Order by which, the electricity tariff applicable to the petitioner has been fixed. Ext.P16 has been issued pursuant to the direction contained in Ext.P10 judgment of this Court.

(2.) THE petitioner Company owns a Zinc smelter at Binanipuram, where it is engaged in the production of Zinc. The petitioner is an Extra High Tension (EHT) consumer of electrical energy. The terms on the basis of which the energy is supplied and the quantity thereof are incorporated in the agreements entered into between the Company and the 1st respondent. With respect to the rates at which energy is supplied to the petitioner, tariff orders are periodically issued by the 1st respondent revising the same in exercise of its power under the Electricity (Supply) Act, 1948 (hereinafter referred to as 'the Electricity Supply Act' for short).

(3.) ON 03.08.2001, the 3rd respondent issued Ext.P1 order revising and increasing the tariff applicable to all categories of consumers uniformly by 25%. The rate that was applicable to the petitioner before the issue of Ext.P1 was Rs.1.90 per unit. Consequent to the revision of tariff by an upward hike of 25%, the tariff became Rs.2.37 per unit. However, the 1st respondent rounded off the same to Rs.2.40 per unit. According to the petitioner, considering the quantity of energy consumed by the petitioner, though the difference in tariff rate may appear to be negligible, it works out to crores of rupees.