The Telangana High Court has dismissed a petition filed by Margadarsi Chit Fund Private Limited. The company had challenged demand notices for cross-subsidy charges totaling ₹81.12 lakh.
These charges were levied by the Southern Power Distribution Company Limited for the financial years 2005-06 to 2014-15. Justice Nagesh Bheemapaka stated that the company had not presented a sufficient case for the court to intervene with the demand notices.
The judge explained that consumers seeking an exemption from cross-subsidy charges must provide proof of valid consent from the State government for their generator, as per the Electricity Act-1948. The court rejected the company’s argument that certain government orders constituted valid consent.
Margadarsi Chit Fund Private Limited requested additional time to produce the required consent but was unable to do so, according to the court’s verdict.
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Source: thehindu.com
