TATA POWER COMPANY LIMITED Vs. MAHARASHTRA ELECTRICITY

JUDGEMENT

(1.) THE Tata Power Company Limited which is owning four Hydro Power Stations and thermal power stations at four different places having total generation capacity of 2027 MW apart from having a segregated distribution business has preferred this appeal being aggrieved with the order dated 29.09.2010 passed in connection with case no. 37 of 2010 by the Maharashtra Electricity Regulatory Commission, respondent no. 1 herein, whereby it refused to quash four letters dated 16.05.2010, 18.05.2010, 12.06.2010 and 30.06.2010 issued by the Maharashtra State Load Dispatch Centre, Kalwa, the respondent no. 2 declining thereby to schedule and dispatch 160 MW and 100 MW of appellant's generation capacity which the distribution division of the appellant had contracted to procure through a Power Purchase Agreement to meet the load requirements of its consumers in its licensed area, and also refusing to pay compensation to the appellant on account of the losses said to have been suffered by the appellant on account of such illegal and unjustified refusal .

(2.) THE respondent no. 7, Tata Power Trading Company Limited (TPTCL) was granted facility of availing itself of open access by the respondent no. 2 for supply of 160 MW power to Tata Power Distribution from 1st May, 2010 to 31st May, 2010 by approval no. MSDC/OA /March 10 / Tata /355 dated 30th March, 2010. On 7.05.2010 the Government of Maharashtra, the respondent no. 3, issued a Memorandum to the Commission containing certain directions in relation to the generation assets of the appellant without raising any objection to the appellant's supplying 100 MW of power since contracted to BEST, but suggested that the appellant should supply 360 MW of power to Reliance Infrastructure Limited (RInfra) till 30.06.2010 and then 200 MW of power to RInfra till 31st March, 2011.

(3.) BUT the MSLDC refused to concede to the appellant's request for scheduling 160 MW of power to Tata Power Distribution on the ground that it had received instruction from the senior authority " to await further instructions as the matter had been referred by the State Government to MERC". According to the appellant, such refusal was guided by non-statuary considerations while it was bound to carry out the statuary duties. The appellant wrote back to say on 18.05.2010 to MSLDC that it was bound to function in terms of the Act and the Government of Maharashtra did not issue any direction in its Memorandum dated 7.05.2010 compelling the appellant to schedule the entire 360 MW of power to RInfra and that the Commission had not passed any order affecting the scheduling request of 160 MW of power to Tata Power Distribution. The appellant pointed out that there was financial burden of Rs. 60 lakh per day which the consumers would have to bear only because of the failure of the MSLDC to carry out its statutory duties. Now, the MSLDC allegedly adopted a most curious course of action by passing the matter in the hands of the 5 Maharashtra State Electricity Transmission Company Ltd.(MSETCL) which by letter dated 18.05.2010 referred the matter to the Government of Maharashtra to the effect that "since no order is received from Hon'ble MERC, to kindly issue further instructions to SLDC Kalwa for scheduling power as per the provisions in the Electricity Act ,2003"