Satyanarayana Rice And Genral Merchent Consumer No Gnt 4616 vs. The State Of Andhra Pradesh

Held

The Court noted that a batch of writ appeals and writ petitions involving the same issue was pending. It was also submitted by both sides that an interim order granted in those batch matters was in operation. The Court acknowledged the copy of the interim order in W.P.Nos.29987 of 2023 and batch. Given these circumstances, the Court directed that the petitioners shall continue to pay the electricity duty collected at the rate of Rs. 0.06 paise per unit (KWH) to the licensees, along with any arrears. The matter was listed for hearing after Summer Vacation, 2025. The Court did not decide the main issue of the legality of the enhanced electricity duty but maintained the status quo as per the existing interim order in similar pending matters.

Facts

The petitioners, various businesses including rice merchants and granite suppliers, filed a writ petition challenging the legality and arbitrariness of G.O.Ms. No. 7, Energy Power-II Department dated 08.04.2022. This Government Order increased the electricity duty from Rs. 0.06 paise per unit to Rs. 1/- per unit on energy sales to commercial and industrial consumers. The petitioners contended that this enhanced levy was contrary to statutory provisions. The respondents are the State of Andhra Pradesh and its power distribution corporation (APCPDCL) and its officers. The petitioners sought a direction to levy electricity duty at the old rate of Rs. 0.06 paise per unit and to adjust any refundable amounts. An interim application was also filed seeking to prevent disconnection of power supply for recovery of the enhanced duty.

Key Issues

1. Whether the levy of electricity duty at the enhanced rate of Rs. 1/- per unit on energy sales to commercial and industrial consumers, as per G.O.Ms. No. 7 Energy Power-II Department dated 08.04.2022, is illegal, arbitrary, and contrary to statutory provisions? (Question of law) Petitioner's arguments: The petitioners argued that the action of the respondents in seeking to levy electricity duty at the enhanced rate was illegal, arbitrary, and contrary to statutory provisions. They sought a direction to continue levying the duty at the old rate of Rs. 0.06 paise per unit and to adjust any refundable amounts. They also sought to prevent power disconnection for recovery of the enhanced duty. Revenue/State's arguments: The judgment records that learned counsel on either side submitted that the issue involved in this writ petition is the same as in a batch of pending writ appeals and writ petitions. An interim order granted in those batch matters is in operation. The respondents did not present any specific arguments against the petitioners' claims in this judgment, but rather acknowledged the pendency of similar matters and the existence of an interim order.