JSW STEEL LIMITED Vs. STATE OF MAHARASHTRA

JUDGEMENT

(1.) Since issues of fact and law raised in these four writ petitions are common, we propose to dispose of the same by this common order.

(2.) We refer to the facts in W.P. (L) No.9078 of 2021. The first petitioner is a company engaged in the business of carrying power for captive consumption from the captive power units of JSW Energy Limited to their various manufacturing facilities in the State of Maharashtra through open access, utilizing the distribution network of the Maharashtra State Electricity Distribution Company Limited (hereafter "the MSEDCL ", for short). The petitioners have been made liable to pay tax to the State Government in terms of the provisions of the Maharashtra Tax on Sale of Electricity Act, 1963 (hereafter "the Act ", for short); however, once it was pointed out by the petitioners that such collection of tax is illegal, it is claimed that the MSEDCL has not been collecting tax from the petitioners from 2019 onwards. However, a question having arisen with regard to refund of the tax paid by the petitioners till that date, we find that the Chief Engineer (Commercial) of the MSEDCL by his communication dated June 19, 2019, addressed to the Under Secretary (Energy), Industries, Energy and Labour Department, Mantralaya, Mumbai, sought guidance on the question of refund of tax on sale to captive power plant consumers. It is alleged by the petitioners, and not disputed by counsel for the first respondent/State that, till date, there has been no decision from the side of the Government of Maharashtra in the Industries, Energy and Labour Department to such communication dated June 19, 2019.

(3.) The prayer in the writ petition is for a declaration that no tax on sale of electricity could have been collected from the petitioners by the respondents in terms of the Act and such collection being without the authority of law, a further direction has been prayed for refund of the amount collected as tax.