Tata Power Seeks Clarification On SC Directive To MERC

Mumbai, Nov 14: | Updated: Nov 15 2003, 05:30am hrs
Tata Power Company (TPC) has sought clarification from the Supreme Court on its recent judgement directing the Maharashtra Electricity Regulatory Commission (MERC) to decide TPCs dispute on the payment of standby charges with Reliance Energy Ltd (REL). The apex court has asked MERC to take a decision on the dispute within three months and also decide the maximum demand charges.

TPC, which filed its plea on Thursday, informed MERC about its move during Fridays hearing on standby charges issue. The power regulator has convened next hearing on standby charges on November 25 and December 4. TPC argued that MERCs previous order pertaining to the standby charges dispute has been set aside by the Bombay High Court order though it has asked MERC to decide the matter denovo.

TPC has appealed to the apex court to clarify its observation rejecting only the contention of TPC (that its notice of September 30, 1998 for enhancement of standby charges and maximum demand charges from REL had become effective on the expiry of 60 days from its date from December 1, 1998) and do not affect any other items contained in the notice. TPC has prayed that the apex court should delete the tariff can be enhanced only after approval of the Commission and charging of an enhanced tariff which has not been approved by the Commission will amount to the commission of an offence.

Meanwhile, TPC, which has received MERCs snub on Monday, on Friday assured MERC that it would follow its July 3 order restraining TPC from supplying power below 1,000 KVA in the REL area. TPC also gave an assurance that notice for disconnection 3 would be issued within seven days.