JAIN, J. — This Special Appeal & other Special Appeals, mentioned in Schedule A, have been filed by the Rajasthan State Electricity Board (hereinafter to be called as the Board) and its Assistant Engineer (CS.D.) under section 18, Rajasthan High Court Ordinance against the judgments dated August 23, 1986 and December 17, 1986 passed by learned Single Judges in the various writ petitions filed by the power consumers. The learned Single Judges have partly allowed the writ petitions. They have struck down Note II given below Item No. 8 of Part II of the General Conditions of Supply and Scale of Miscellaneous Charges Relating to the Supply of Electricity, 1964 (hereinafter to be called the General Conditions) providing that no interest would be payable on the Security deposit. They have also directed that the interest would be payable on the amounts of enhanced security deposits from the date of the deposit at the rate payable by the Scheduled bank on fixed deposits made for a year. They have further directed that the amounts of enhanced security deposits would be calculated on the basis of average consumption of three months of the previous year & the bills for depositing the amounts of the enhanced security deposits would be revised and issued accordingly. The writ petitioners have also filed special appeals, mentioned in Schedule B, praying that the interest on the entire amounts of security deposits be allowed and not on the enhanced amounts of security deposits. After the aforesaid judgements of the learned Single Judges, writ petitions, mentioned in Schedule C, were filed with the same prayers. As the facts and law involved in all these cases are almost same, they are being disposed of by this common judgment. Common facts may be summarised thus. (2). The writ petitioners applied to the Board for the supply of high tension power for their factories. Agreements in prescribed forms were executed, security amounts in cash on the basis of estimate of consumption of power during one month were deposited and bank guarantees for double the said estimated amounts were furnished. After completing all other necessary formalities, power connections were given. Subsequently, the Board issued notices to the writ petitioners requiring them to deposit the enhanced amounts of cash security as well as bank guarantee on the basis of the maximum power consumption of three months. After completing all other necessary formalities, power connections were given. Subsequently, the Board issued notices to the writ petitioners requiring them to deposit the enhanced amounts of cash security as well as bank guarantee on the basis of the maximum power consumption of three months. The writ petitioners submitted various representations to the authorities of the Board and requested them to calculate enhanced security on the basis of average consumption of three months and to make payment of interest on the amounts of security deposits but with no avail. Thereafter, they filed writ petitions challenging the notices. The Board filed its replies, seriously opposing the writ petitions. After bearing the learned counsel for the parties, the learned Single Judges partly allowed the writ petitions as said above. (3). It has been contended by the learned counsel for the Board that the amounts of enhanced security have rightly been calculated on the basis of the maximum power consumption of three months of the previous year as in almost all establishments consumption of the power is progressively rising and the relevant portions of Part II of the General Conditions providing that the amount of security would be calculated @ Rs. 40/- per K.V. of connected load or part thereof or three months estimated consumption charges, whichever is higher, do not require that the average consumption of three months is to be taken. They further contended that all the writ petitioners, have executed agreements in the prescribed proforma, there is no term in it for the payment of interest and as such they are not entitled to claim interest as it is not the case of any of the writ petitioners that the agreements is void or voidable. They also contended that the consumers make payment of the amounts of the electricity consumed by them not before 21/2 months of the actual consumption as meter reading is taken after consumption period of 30 days, 10 days are generally required for taking meter reading and issuing bills, 17 days time is given for the payment of the bills, 7 days notice is given for the disconnection of supply, if the consumer fails to deposit the bill amount in time and thereafter 10 days are taken in actual disconnection after the expiry of the notice period and no interest is charged by the Board or paid by them for detaining the amounts. They lastly contended that the learned Single Judges did not take into consideration the earlier judgement of this court given in B.R. Oil Mills Ltd. Bharatpur vs. Assistant Engineer (D), R.S.E.B. Bharatpur (1), holding that the condition regarding the non-payment of interest is quite valid. Mr. R.C. Maheshwari Advocate also relied upon Southern Steel Ltd. V. AP. State Electricity Board, (2) in support of his arguments that interest should not be awarded at the rate exceeding 3% per annum, if it is awarded. (4). In reply, it has been contended by the learned counsel for the power consumers (writ petitioners) that the condition regarding the non-payment of interest on the amounts of security deposits Part II of the General Conditions and the General contract executed in between the parties not providing payment of interest are most arbitrary and are hit by Article 14 of the Constitution of India. They also contended that after furnishing of the security, many formalities are required to be completed, they take time and, thereafter power connection is released. They further contended that under clause 2 (c) of Part II of the R.S.E.B. Tariffs for Supply of Electricity, 1981 the consumers are required to pay surcharge @ % for 30 days or part thereof on the unpaid amount from the due date until the same is paid in full. They also contended that Section 4, Interest Act, 1978 provides payment of interest on security deposits and Part XVII (2) (v) of the VI Schedule of the Electricity (Supply Act, 1948 (hereinafter to be called the 1948 Act) requires the Rating Committee to take into consideration the amounts of interest paid on security deposits while fixing the rates of electricity charges. They further contended that it is not mentioned in Part II of the General Conditions that the consumption of the three months consuming maximum powers would be taken into consideration while calculating the amounts of securities, it simply provides for the three months estimated consumption charges and it means average consumption of the three months of the previous year. They lastly contended that the learned Single Judges have allowed interest on the enhanced amounts only of security deposits despite the fact that the provisions regarding the non-payment of interest on the amount of security have been struck down and they should have allowed interest on the total amounts of security deposits. (5). They lastly contended that the learned Single Judges have allowed interest on the enhanced amounts only of security deposits despite the fact that the provisions regarding the non-payment of interest on the amount of security have been struck down and they should have allowed interest on the total amounts of security deposits. (5). It is no more in dispute that enhanced security may be demanded by the Board from the power consumers on the basis of the agreements executed by them and also under Condition No. 20 (e) of the General Conditions and proviso (a) of sub-clause (b) of Clause (1) of Part VI of the Schedule of the Indian Electricity Act, 1910 hereinafter to be called 1910 Act. Reference of M/s Jagannath Paper Industries (P) Ltd. v. Haryana State Electricity Board (3), B.R. Oil Mills v. Assistant Engineer (D), Rajasthan State Electricity Board, Bharatpur (supra), K.C. Works v. Secretary, KPSEB, Vidhyut Saudha (4) and M/s Haryana Ice Factory v. Delhi Electricity Corporation (5), may be made here. (6). The first question for consideration in these cases is about the basis for the determination of the enhanced amount of security. The relevant portions of Part II of the General Conditions relating to security deposit run as under:— "Security Deposits:— (a) Domestic and non-domestic loads- When bills are issued Monthly Bi monthly (i) Upto 15 KW connected load. Rs.20/- per0.5 K.W. Rs.30/-per 0.5 K.W. Connected load or part thereof. (ii) About 15 KW connected load Rs.25/-per0.5.KW Rs.50/-per0.5.KW Connected load or part there of or 3 months estimated consumption charges whichever is higher. (b) All others Rs. 40/- per KW of connected load or part thereof or 3 MONTHS ESTIMATED CONSUMPTION CHARGES WHICHEVER IS HIGHER. N.B. (i) An additional security of Rs. 50/- per service will be required from the consumer who does not own the premise in which the connection is desired. (ii) NO DITEREST WILL BE PAID BY THE BOARD ON THE SECURITY DEPOSIT. (iii) Security Deposits from Government servant shall be as per the Govt. notification issued from time to time. In the absence of any such notification, the above rates of Security Deposits shall also be applicable to Govt. servants. But additional security of Rs. 50/- will not be required from a Govt. servant living in a government quarter duly allotted to him." (7). The above quoted clause (b) applies in all the present cases. In the absence of any such notification, the above rates of Security Deposits shall also be applicable to Govt. servants. But additional security of Rs. 50/- will not be required from a Govt. servant living in a government quarter duly allotted to him." (7). The above quoted clause (b) applies in all the present cases. It clearly provides that the amount of security would be calculated @ Rs. 40/- per K.V. of connected load or part thereof or THREE MONTHS ESTIMATED CONSUMPTION CHARGES, whichever is higher. It does not provide for the consumption of three months consuming maximum electricity. If it is interpreted to mean maximum consumption, it may also be interpreted to mean minimum consumption. In the absence of any indication about the particular three months, the correct interpretation of these words would be average consumption of three months. Average is the golden rule. Demand on the basis of maximum consumption of three months would be arbitrary and unreasonable as observed in M/s Jagdamba Paper Industries (p) Ltd. v. Haryana State Electricity Board (Supra) Para 11. The Board has power to demand additional security as and when consumption of energy goes beyond the security limit. The learned Single Judges have rightly held that the average consumption of the three months would be taken into consideration while calculating the amounts of security. Thus there is no force in the aforesaid contentions of the learned counsel for the Board on this point. (8). The second question for consideration is whether the above quoted Note II and the term of the agreements executed in between the parties regarding the non-payment of interest on the cash security deposits are reasonable. (9). Last para of the prescribed form of agreement given in the end of Part I of the General Conditions runs as under :— "This agreement shall be read and construed as subject in all respects to the conditions of supply of the Board, as enforced from time to time and to the relevant provisions of the Indian Electricity Act, 1910, the Electricity (Supply) Act, 1948, and the rules and regulations made thereunder or any subsequent amendments or modifications thereof." (10). Para 14 of the Model Form of Draft Conditions Supply (Annexure VI) framed under Rule 27 of the Indian Electricity Rules, 1956 runs as under :— "14. Para 14 of the Model Form of Draft Conditions Supply (Annexure VI) framed under Rule 27 of the Indian Electricity Rules, 1956 runs as under :— "14. Security Deposit :- The licensee may require any consumer to deposit security for the payment of his monthly bills for energy supplied and for the value of the meter and other apparatus installed on his premises. No interest will be allowed on deposits up to Rs. 25/-. Interest at the rate of... per cent per annum will be paid by the licensee on deposits exceeding Rs. 25/-. The licensee shall be at liberty at any time to apply any security deposited towards payment or satisfaction of any money which shall become due or owing by the consumer. The licensee shall also be at liberty to demand enhanced security deposit from consumers at any time during the life of the contract. The balance of the security deposit will be returned to the consumer on the termination of the contract." (11). According to the Condition No. 20 of the General Conditions, a consumer is required to execute an agreement. Even assuming that there is a term in it providing non-payment of interest on the amount of security deposited in cash it can be examined to see whether it offends Article 14 of the Constitution of India or not. In the famous case of Kumari Shrilekha Vidhyarthi v. State of U.P. (6), it has been observed as under:— "In our opinion, it would be alien to the Constitutional Scheme to accept the argument of exclusion of Art. 14 in contractual matters. The scope and permissible grounds of judicial review in such matters and the relief which may be available are different matters but that does not justify the view of its total exclusion. This is more so when the modern trend is also to examine the unreasonableness of a term in such contracts where the bargaining power is unequal so that these are not negotiated contracts but standard form contracts between un-equals." The Condition No. 20 of the General Conditions also provides that the Board will commence the work for installation of power connection only after the execution of agreement and deposit of security. Some time is definitely taken in completing all formalities and work after the security is deposited. Some time is definitely taken in completing all formalities and work after the security is deposited. It has not been shown as to how many days after the cash security deposited, the power connection is given. Clause (i) of Item VI of the Schedule of the 1910 Act gives one months time from the date of requisition to the Board for giving electric connection. The time taken in completing various formalities are excluded in computing this period of one month. Admittedly, no interest is paid by the Board on the amount of security deposits to the consumers for this period. The consumers have no say in the aforesaid time schedule for taking meter readings, preparing and issuing bills, their payments, issuing disconnection notices and actual disconnection of electric supply. The board charges surcharge @ 2% for 30 days or part thereof on the unpaid amount of the bill under clause VIII (c) of Part II of the Tariff for Supply of Electricity, 1981. It runs as under:— "(c) Payment - The above rates are net. In the event that the monthly bill is not paid in full within the time specified on the bill,a surcharge of 2% shall be levied on the unpaid amount of the bill for each 30 days successive period or part thereof, until the amount is paid in full." (12). There are various provisions in the 1910 Act and 1948 Act which contemplate payment of interest on the amounts of security deposited by the consumers. At the risk of repetition it is mentioned that para 14 of the Model Form of Draft Conditions of Supply (Annexure VI), quotted in para 9 supra, clearly provides payment of interest on security deposits exceeding Rs. 25/-. Item No. (V) of sub-clause (b) of clause (2) of Part XVII of Schedule VI of the 1948 Act provides addition of the amount of interest paid on the security deposits in the expenditure properly incurred in the generation and purchase of electricity. Sub-item (i) (c) of Item L (other charges) of the statement of Operating Expenses (No. IV) and Item No. 3 of the Statement of Net Revenue and Appropriations Accounts (No. XI) of the Annexure V of the Indian Electricity Rules, 1956 also speak about the interest on consumers security deposits. (13). Sub-item (i) (c) of Item L (other charges) of the statement of Operating Expenses (No. IV) and Item No. 3 of the Statement of Net Revenue and Appropriations Accounts (No. XI) of the Annexure V of the Indian Electricity Rules, 1956 also speak about the interest on consumers security deposits. (13). Section 4, Interest Act, 1978 provides that the court shall allow interest at such rate as it may consider reasonable on the amount deposited as security for the performance of obligation imposed by law or contract from the date of the deposit. It has been observed in Jagdamba Paper Industries v. Haryana State Electricity Board (supra), as follows:— "On the security amount interest at the rate of 4% was initially payable. The same has already been enhanced to 8% per annum. Since the amount is held as security, we indicated to the counsel for the Board that security amount should bear the same interest as admissible on fixed deposits of Scheduled Banks for a term of years and we suggested keeping the present rate of interest in view that it should be enhanced to 10%. Boards counsel has now agreed that steps would be taken to enhance the present rate of interest of 8% to 10% with effect from October 1, 1983." As such it cannot be said that the above quoted provision regarding the nonpayment of interest on the security amount is reasonable. It is arbitrary. It offends the provisions of Article 14 of the Constitution. The learned Single Judges have rightly struck down these provisions. It is correct that in B.R. Oil Mills v. Asstt. Engineer (D). RSEB, Bharatpur (supra), validity of the said Note II has been upheld. No good reason has been advanced in taking this view. We find it difficult to agree with this view for the aforesaid reasons. (14). The third question is whether the writ petitioners are entitled to get the interest on the entire amounts of security deposits only on the enhanced amounts of cash securities. In all the writ petitions, interest from three years preceding the dates of filing of the writ petitions on the entire amounts of cash securities have been claimed. (14). The third question is whether the writ petitioners are entitled to get the interest on the entire amounts of security deposits only on the enhanced amounts of cash securities. In all the writ petitions, interest from three years preceding the dates of filing of the writ petitions on the entire amounts of cash securities have been claimed. When the provision regarding the non-payment of interest has been held to be ultra vires of the Article 14 of the Constitution, a consumer is entitled to get interest on the entire amount of the cash security and not on the enhanced amount of cash security only. There is no good ground for not allowing interest on the initial amounts of security deposits. It is not the case of a petitioner that demand was raised for payment of interest before filing writ petitions. It would, therefore, be not just to allow interest for the period prior to the filing of the writ petitions. The writ petitioners should get interest from the date of the filing of their respective writ petitions. (15). The surving question is about the rate of interest. Both the learned Single Judges have allowed interest at the rate payable by the Scheduled Banks on fixed deposits for a term of one year. Security deposits are to remain with the Board till the power connections continue and not for one year. As such the consumers should get interest at the rate payable by Scheduled Banks on Fixed Deposits for a term of years as has been allowed in M/s Jagdamba Paper Industries Ltd. v. Haryana State Electricity Board (supra), namely 10% per annum. Interest at the rate of 3% per annum would be highly inadequate and unreasonable particularly when the Scheduled Bank now pay interest at the rate of 13% per annum to the depositors. (16). Consequently, the aforesaid Special Appeal No. 83 of 1987 and other special appeals, mentioned in Schedule A, filed by the Board are dismissed. The special appeals mentioned in Schedule B, are allowed and the writ petitions mentioned in Schedule C, are partly allowed. (17). (16). Consequently, the aforesaid Special Appeal No. 83 of 1987 and other special appeals, mentioned in Schedule A, filed by the Board are dismissed. The special appeals mentioned in Schedule B, are allowed and the writ petitions mentioned in Schedule C, are partly allowed. (17). The judgments of the learned Single Judges striking down Note II "No interest will be paid by the Board on the security deposit" appearing below the para of security deposit in Part II of the General Conditions and directing the Board to calculate the amounts of enhanced security on the basis of average consumption of three months of the previous year and to revise the bills accordingly, are confirmed. (18). The consumer-petitioners will get interest on their entire amounts of security deposits from the date of the filing of their respective writ petitions which has been given in the Schedules A, B and C. The judgments of the learned Single Judges holding that they are entitled to get interest on the enhanced amounts of security deposits only are modified accordingly. Interest on the total amounts of cash security deposits will by payable at the rate of 10% per annum. (19). The arrears of interest payable on the cash security deposits till March 31, 1991 will be adjusted in the bills relating to power consumption to be issued by March 31, 1992. In future, amount of annual interest payable would be adjusted in the bill issued in the months of April of the next financial year.