SC directs MERC to fix power quota before new tariff rates

New Delhi, Jun 3 (UNI) The Supreme Court today directed the Maharashtra Electricity Regulatory Commission (MERC) to consider the representation made by Anil Ambani's Reliance Group demading fixation of power quota for his company in Mumbai before revising or hiking the power tariff rates.

Issuing the directions here on an application filed by the Reliance Infrastructure Ltd alleging that their plea for equitable distribution of power in the Maharashtra capital was not being considered by MERC as well by the Appellate Tribunal, a vacation bench comprising Justices C K Thakkar and Lokeshwar Singh Panta said, "MERC may consider the representation made by Reliance Group and pass appropriate order before fixing new tariff rates." There are three distribution companies in Mumbai namely: Tata Power company, BSES of Reliance Group, and BEST, a company owned by the Government of Maharashtra.

Senior Counsel Abhisekh Manu Singhvi, appearing for the Reliance Group, contended that without fixing the share of power of his client, the MERC cannot decide to fix new tariff rates in the metropolitan city.

The Tata Power company also has similar grievances and its petition is still pending in the court.

UNI SC PY RP ND2010