RAJESH Vs. K S E B

JUDGEMENT

(1.) Whether the Kerala State Electricity Board (in short "the Board") is entitled to claim any amount under the minimum guarantee agreement after disconnection of the electricity supply is the question that arises for consideration in this case.

(2.) Learned counsel for the petitioner placing reliance on the decision of a Division Bench of this court in Meledam Saw Mills v. K.S.E. Board 1998 (2) KLT 227 contended before the learned single Judge that once disconnection has been effected, minimum guarantee agreement also ceases to exist, consequently the Board has no legal right to demand any amount under the minimum guarantee agreement. Learned single Judge found that the provisions of the conditions relating to supply of electrical energy which came into force on 1.1.1990 was not considered by the Division Bench and hence referred the matter to the Division Bench.

(3.) Petitioner started a wooden furniture industry under the name and style "Parayakath Furniture Industries" in Ward No. 3 of Kanjirapuzha Panchayath. Industry was registered as an S.S.I. Unit on 22.1.1998. Petitioner obtained power connection on 8.12.1997 on the basis of the minimum guarantee agreement executed by him with the Board. He has to pay Rs. 1,200/- per month to the Board irrespective of the fact whether the unit is consuming energy or not. Petitioner's unit had started commercial production on 10.12.1997. He had defaulted payment of electricity charges. Consequently first respondent on 26.10.1998 disconnected supply. Later supply of electrical energy was restored and was again disconnected due to non payment of electricity charges. Later petitioner was served with communication dated 11.11.2003 demanding him to pay an amount of Rs. 37,203/- towards the total amount due under the minimum guarantee agreement.