Telangana HC restrains CERC from taking coercive action against SPDCL, NPDCL over Rs 179 Cr dues
Telangana High Court restrains CERC from taking coercive action against SPDCL, NPDCL over Rs 179 Cr dues
By Newsmeter Network
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Hyderabad: The Telangana High Court has restrained the Central Electricity Regulatory Commission (CERC) from taking any coercive action against Southern Power Distribution Company of Telangana Limited (SPDCL) and the Northern Power Distribution Company of Telangana Limited (NPDCL) for three weeks in the Rs 179 crore payment demand notice case.
Interim relief granted
A Division Bench comprising Chief Justice Aparesh Kumar Singh and Justice P Sam Koshy passed the interim order while hearing writ petitions filed by the Southern Power Distribution Company of Telangana Limited (SPDCL) and the Northern Power Distribution Company of Telangana Limited (NPDCL).
The companies challenged the notice issued by the CERC seeking payment of electricity dues amounting to Rs 179 crore.
Petitioners question CERC Authority
During the hearing, N Sreedhar Reddy, standing counsel for the discoms, argued that the CERC has no authority to issue such a regulation demanding payment of dues.
He submitted that the Madras High Court and Kerala High Court had already admitted similar petitions filed by other discoms and granted interim stays against recovery notices issued by the commission.
Further hearing in three weeks
After considering the submissions, the Bench directed CERC, represented by its Secretary, not to take any coercive steps against SPDCL and NPDCL for three weeks. The matter was adjourned for further hearing thereafter.
