Justified To Demand Payment Of Outstanding Dues Before Granting New Electricity Connection : Delhi State Commission

The Delhi State Commission, presided by Justice Sangita Dhingra Sehgal, Ms. Pinki dismissed an appeal against BSES Rajdhani Power Ltd and held that it is reasonable for electricity providers to require payment of outstanding dues before restoring or granting a new connection. Brief Facts of the Case The complainant, the owner of a property in Hauz Khas, New Delhi, explained that the previous connection had become dormant after the building was sealed by MCD and the meter was removed. Therefore, the complainant applied for a new electricity connection with BSES Rajdhani Power Ltd/power company. It alleged that the power company failed to issue demand notes or install the connection despite fulfilling all formalities. The complainant noted discrepancies in billing, including an invalid bill for a non-existent meter in the previous owner's name. The power company later canceled the application on baseless grounds, violating electricity regulations. The complainant accused the power company of willfully depriving them of electricity. Consequently, the complainant filed a complaint with the District Commission which dismissed the same. However, the complainant later appealed before the State Commission of Delhi. Contentions of the Power Company The power company denied all the allegations by the complainant claiming them to be false and baseless in nature. It was further argued that the Consumer Commission does not have the jurisdiction to handle 'billing disputes' as it falls under the purview of Consumer Grievance Redressal Forum (CGRF) established by the DERC under the Electricity Act, 2003. Observations by the State Commission The State Commission observed that the primary issue was whether the District Commission erred in dismissing the complaint filed by the Complainant against the power company. The Complainant owned a property at Kaushiya Park, Hauz Khas, New Delhi, where an electricity connection was transferred to his name. The building was sealed by the MCD, leading the power company to disconnect and remove electricity meters, including those for the Complainant's premises. After the building was unsealed, the Complainant applied for a new electricity connection, but the power company rejected the request, citing unpaid dues for the property. The Commission referred to the Supreme Court's judgment in Paschimanchal Vidyut Vitran Nigam Ltd. vs. DVS Steels & Alloys Pvt. Ltd. & Ors., which held that it is reasonable for electricity providers to require payment of outstanding dues before restoring or granting a new connection. This measure prevents defaults by consumers who might sell the property and evade payment. Based on this reasoning, the Commission upheld the dismissal of the complaint, agreeing with the District Commission's decision. Case Title: Mr. Vikash Gupta Vs. BSES Rajdhani Power Ltd. Case Number: F.A. No. 432/2017 Click here To Read/Download The Order

Justified To Demand Payment Of Outstanding Dues Before Granting New Electricity Connection : Delhi State Commission

Ayushi Rani

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