IN RE Vs. STATE

JUDGEMENT

(1.) Since, the interesting and important issues have been raised, we have taken up this matter by treating the letter sent by the Power Ministry as the suo -moto petition. Page 1 of 92 Judgment in OP No.1 of 2011

(2.) THE Ministry of Power through its Secretary sent a letter to the Chairperson of this Tribunal dated 21.1.2011 complaining that most of the State distribution utilities have failed to file annual tariff revision petitions in time and as a result in a number of States, tariff revision has not taken place for a number of years and that State Commissions constituted all over India have also failed to make periodical tariff revisions suo -moto resulting in the poor financial health of the State distribution utilities. Due to this fact situation, the Power Ministry requested this Tribunal to take appropriate action by issuing necessary directions to all the State Commissions to revise the tariff periodically, if required by suo moto action, in the interest of improving the financial health and long term viability of the electricity sector in general and distribution utilities in particular. Page 2 of 92 Judgment in OP No.1 of 2011

(3.) IN pursuance of the said request, the matter has been posted before the Full Bench of this Tribunal for passing necessary orders. Accordingly, the Full Bench entertained the same as a suo -moto petition and issued notices to all State Commissions and to the Forum of Regulators inviting their responses through their status reports. On receipt of these notices, all the State Commissions have promptly sent their respective reports. The Secretary of the Forum of the Regulators has also sent his report on the basis of the information furnished by all the State Commissions.