BESCO LIMITED (FOUNDRY DIVISION) AND ORS. Vs. THE WEST BENGAL STATE ELECTRICITY DISTRIBUTION COMPANY LIMITED AND ORS.

JUDGEMENT

(1.) The dispute in this writ petition is over plea of the petitioners for reduction of contract demand or load in relation to supply of electricity to their manufacturing unit at Baruipur. The petitioners contend that their request for such reduction was not complied with. The petitioner No. 1 is engaged in the business of manufacture of railway wagon components and other engineering items. The first petitioner had entered into an agreement with the West Bengal State Electricity Distribution Company Limited (the distribution company) on 16 January, 2010 for supply of high voltage supply of electricity, specifying their contract demand to be 5500 KVA for the first year and 6500 KVA for the next four years in respect of their production unit of Baruipur, 24 Parganas (South). Clause 17 of this agreement, a copy of which has been Annexure 'P1' to the writ petition, stipulates:

(2.) It has been submitted on behalf of the petitioners in this case that their workmen had resorted to an illegal strike with effect from 4 March, 2013 which ultimately led to declaration of suspension of work with effect from 11 March, 2013. Because of this situation, which the petitioners refer to as "Force Majeure" situation, the petitioners allege to have written a letter seeking reduction of contract demand 100 KVA. A copy of this letter dated 12 March, 2013 has been annexure 'P4' to the writ petition. This letter stipulates:

(3.) Complaint of the petitioners in this proceeding is that this request was not acceded to and the distribution company went on raising bills on the basis of their original contract and demands for payment of charges were raised on the petitioners as per the original contract. In the writ petition, the petitioners have applied for quashing of two bills raised on them by the respondent company dated 7th May, 2013 and 31st May, 2013, copies of which have been made Annexures "P-9" and "P-16" to the writ petition. The bill dated 7th May, 2013 requires payment of Rs. 29,09,457/- which includes demand charge of Rs. 17,47,046/-, whereas payment required to be made as per the bill dated 4th May, 2013 is Rs. 27,77,312/-, that includes demand charge for Rs. 17,31,545/-. The petitioners also seek a declaration to the effect that clause 4.3.6 of the Est Bengal Electricity Regulatory Commission (Terms of Conditions of Tariff) Regulations, 2011 is ultra vires the provisions of Article 14 of the Constitution of India and contrary to the provisions of Section 61(d) of the Electricity Act, 2003. As per the said clause, (i.e. 4.3.6), a distribution company under the 2003 Act has the benefit of resorting to "Force Majeure" events for failing to supply electricity under certain conditions, while a consumer is not granted such benefit so far as his part of obligation is concerned, even in "Force Majeure" situations.