L. C. K. Cement Ltd. , Macherla v. Transmission Corporation of A. P. Ltd.
2001-03-07
Y.V.NARAYANA
body2001
DigiLaw.ai
Y. V. NARAYANA, J. ( 1 ) THE Writ Petitioner is a private limited company engaged in manufacturing of cement. For this purpose, the petitioner obtained High Tension Power supply from the respondent-Corporation with a contracted maximum demand of 800 KVA. It is the case of the petitioner that the petitioner-Company having suffered severe financial loss on account of bad market; position, it has become sick industry. The petitioner-Company is making hectic efforts to revive the company by borrowing money from various financial institutions. Under these circumstances, the petitioner vide its letter dated 1-7-2000 requested the second respondent to reduce petitioner s contracted maximum demand from 800 KVA to 20 kva on temporary basis in terms of memo. CE (Commercial)/al/tem. Deration/22/87-965, dt. 20-9-1993. The petitioner placed its strong reliance on clause 3 (1) of the said Memo which clearly specifies that the consumers can seek deration/reduction of their C. M. D. by giving one month s notice. The first respondent vide letter no. CE (Commercial)Al/cmd/d. No. 718/00, dated 3-8-2900 informed the petitioner that the request for temporary deration of C. M. D. can be considered on condition of the petitioner clearing all the dues existing up to June, 2000. Assailing the said letter, the petitioner filed the present writ Petition. ( 2 ) IN the counter filed on behalf of the respondent-Corporation, it is stated that an amount of Rs. 31,44,215. 00 is due from the petitioner for the period from January, 1999 to January, 2000 and on the request of the petitioner to pay the amount due in equal monthly instalments, the A. P. TRANSCO directed the petitioner to pay the arrears of current consumption charges due upt January, 2000, amounting to rs. 31,44,2l5/- in twenty-four monthly instalments, clearly stating that no further extension of time will be given for regular monthly current consumption bills. The petitioner again represented on 23-4-2000 that he has already paid Rs. 1,31,000. 00 on 18-4-2000 towards instalments and requested extension of time for payment of regular current consumption charges of march, 2000, amounting to Rs. 2,14,000. 00. Denying the request of the petitioner, the respondents ordered disconnection of power supply to the petitioner on 25-4-2000.
The petitioner again represented on 23-4-2000 that he has already paid Rs. 1,31,000. 00 on 18-4-2000 towards instalments and requested extension of time for payment of regular current consumption charges of march, 2000, amounting to Rs. 2,14,000. 00. Denying the request of the petitioner, the respondents ordered disconnection of power supply to the petitioner on 25-4-2000. Aggrieved by the same, the petitioner approached this Court by way of filing Writ petition No. 8164 of 2000 and this Court by order dated 2-5-2000 directed the respondents-Corporation to restore the power supply on condition of the petitioner paying half of the total demanded amount. The A. P. TRANSCO replied the consumer on its representation dated 20-4-2000 that no further extension of time will be granted in view of the instructions of the government in its letter dated 9-5-2000. Again the Writ Petitioner approached this court by filing W. P. No. 9245 of 2000 and this Court by order dated 24-5-2000 directed the petitioner to pay Rs. 56,000. 00 for the month of April, 2000 for getting reconnecn on of power supply. However the a. P. TRANSCO replied on the representation of the petitioner dt. 21-6-2000 that no further extension of time will be granted. As the petitioner did not comply with the orders of this Court in third round of litigation, disconnection of power supply was ordered on 1-7-2000. The petitioner by representation dated 1-7-2000 requested the respondents-Corporation to reduce the contracted maxirrium demand from 800 kva to 20 KVA. The respondent by its letter dated 3-8-2000 replied that temporary deration will be granted on payment of arrears up to June, 2000. ( 3 ) THE short question that falls for consideration is whether, the petitioner is entitled to seek for deration of power supply irrespective of payment of arrears of consumption charges. ( 4 ) IT is relevant to examine Clause 3 (1) of the Memo dated 20-9-1993. Clause 3 (1) of the said Memo reads as follows:"3 (1 ). The consumers who give one month s notice in writing for temporary deration of C. M. D. after a period of two years from the date of commencement of the agreement.
( 4 ) IT is relevant to examine Clause 3 (1) of the Memo dated 20-9-1993. Clause 3 (1) of the said Memo reads as follows:"3 (1 ). The consumers who give one month s notice in writing for temporary deration of C. M. D. after a period of two years from the date of commencement of the agreement. " ( 5 ) FROM a reading of the aforementioned clause, it is clear that the consumer has to give in writing one month s notice for temporary deration of CMD after a period of two years from the date of commencement of the agreement. In the present case, the petitioner has issued a letter dated 1-7-2000 requesting for temporary deration of CMD from 800 KVA to 20 KVA, which makes it clear that this letter be treated as one month s notice as envisaged in the Memo dated 20-9-1993. From the aforementioned Memo, it is not at all clear that deration of power on temporary basis shall be subject to clearing of all arrears. It is not open for the respondent-Corporation to insist the petitioner to pay arrears for the purpose of deration of CMD. Therefore, this Court is of the opinion that the impugned letter of the first respondent-Corporation dated 3-8-2000 directing to clear the dues upto June, 2000 is unsustainable. The Respondent- corporation is directed to derate the petitioner s power supply from 800 KVA to 20 KVA as prayed for. ( 6 ) THE Writ Petition is accordingly allowed. No costs.