Sasi Educational Institutes vs. The State Of Andhra Pradesh

Held

The Court acknowledged that a batch of writ appeals and writ petitions concerning the same issue was pending before it. It was also noted that an interim order was in operation in those batch matters. The Court referred to an interim order granted in W.P.Nos. 29987 of 2023 and batch. Based on these submissions and the existing interim orders, 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 then listed for further hearing after the Summer Vacation, 2025. The Court did not make a final determination on the legality of the G.O. itself but continued the interim arrangement.

Facts

This writ petition was filed by multiple petitioners, including M/s Sasi Educational Institutes and M/s Hotel JAS, challenging the action of the respondents in issuing G.O.Ms.No. 7 Energy (Power - II) Department dated April 8, 2022. This Government Order increased the levy of electricity duty from Rs. 0.06 paise per unit to Rs. 1/- per unit on energy sales to commercial and industrial consumers. The petitioners argued that this enhanced rate was illegal, arbitrary, and contrary to statutory provisions. They sought a direction to levy electricity duty at the original rate of Rs. 0.06 paise per unit and to adjust any refundable amounts in future consumption bills. The respondents included the State of Andhra Pradesh and various entities of the Eastern Power Distribution Company of Andhra Pradesh Limited (APEPDCL).

Key Issues

1. Whether the levy of electricity duty at the enhanced rate of Rs. 1/- per unit, as per G.O.Ms.No. 7 Energy (Power - II) Department dated April 8, 2022, is illegal, arbitrary, and contrary to statutory provisions, thereby violating the rights of commercial and industrial consumers (Petitioners)? Petitioners' arguments: The petitioners contended that the action of the respondents in issuing the G.O. and seeking to levy electricity duty at the enhanced rate was illegal, arbitrary, and contrary to the statutory provisions governing electricity duty. They sought to restrain the respondents from levying duty at the enhanced rate and requested that it be levied at the original rate of Rs. 0.06 paise per unit. Respondents' arguments: The respondents, represented by the learned Government Pleader for Energy and the learned Standing Counsel for APEPDCL, submitted that a batch of writ appeals and writ petitions involving the same issue were pending. They also noted that an interim order was in operation in those batch matters.