BEFORE THE CONSUMER DISPUTES REDRESSAL FORUM, ERNAKULAM.

Date of filing : 01/01/2010

Date of Order : 31/01/2012

Present :-

Shri. A. Rajesh, President.

Shri. Paul Gomez, Member.

Smt. C.K. Lekhamma, Member.

C.C. No. 1/2010

Between

And

O R D E R

A. Rajesh, President.

1. The case of the complainant is as follows :

The complainant is a limited company engaged in the manufacturer and export of computer software. The complainant took the premises at door No. 36/2214 C in 2006 for software development and applied for electricity connection from the opposite party under LT-IV tariff by producing STPI (Software Technology Parks of India) license and Green Card. Accordingly, the opposite party alloted electricity connection under LT-IV tariff. The facts being so on 09-05-2007, the opposite party inspected the premises and issued a site mahazar in which the inspection team recommended to change the complainant's tariff to commercial tariff alleging that the complainant is engaged in training activity with a profit motive. It was also stated in the mahazar that the complainant has exceeded the sanctioned connected load. On the basis of the mahazar, the opposite party changed the tariff from LT-IV to LT-VII A and levied penal charges for the connected load. The complainant is entitled to get refund of Rs. 8,29,056.07 which was excessively collected by the opposite party through various bills until December 2009 by having changed to LT VII A from LT IV and by incorrectly applying the connected load to the complainant with 12% interest. The complainant is also entitled to get all bills effective January 2010 onwards at LT IV tariff and at the sanctioned connected load of 33 KW and also entitled to get costs of Rs. 10,000/-. This complaint hence.

2. The version of the opposite party :

The complainant is not a consumer. The complainant is a Limited Company engaged in commercial activity such as software training and placement with number of employees and the electrical energy is not being used for the complainant's livelihood. The said connection bearing No. 18296 was given on 13-10-2006 under LT IV tariff with connected load of 32960 watts. On 09-05-2007, an inspection was conducted by the officials of the opposite party on verification the collected load was found to be 44 and a mahazar was prepared. A provisional assessment of Rs. 84,685/- was also issued. An objection was filed by the complainant and the Assistant Engineer rejected the same with a direction to pay the amount. The tariff applicable to a consumer is decided based on the purpose for which the electric connection to the premises is used. The tariff applicable to the complainant is LT VII A. The Appellate Authority Deputy Chief Engineer as well confirmed the decision of the Assistant Engineer. The action taken by the opposite party is legal and in accordance with law. The complainant is not entitled to get any of the reliefs as sought for in the complaint. The opposite parties request to dismiss the complaint.

3. The complainant was examined as PW1 and Exts. A1 to A28 were marked on his side. The witness for the opposite party was examined as DW1. Heard the counsel for the parties.

4. The points that came up for consideration are :-

1. Whether the complainant is a consumer?

2. Whether the opposite party was justified in changing the tariff from LT IV to LT VII A?

3. Whether the opposite party is liable to refund Rs. 8,29,056.07 to the complainant?

4. Whether the opposite parties are liable to pay costs of the proceedings to the complainant?

5. Point No. i. :- PW1 is the director of the complainant company, according to him, he along with Mr. Jeyesh Puthenparambil are running the company for earning their livelihood by means of self-employment, nothing is on record to controvert the same. Moreover, a company is a consumer as per the provisions of Section 2 (1)(m) of the Consumer Protection Act, legally uncontrovertable especially for reasons not unforthcoming. This point is answered accordingly.

6. Point Nos. ii. and iii. :- Admittedly, the electricity connection bearing No. 18296 had been granted to the complainant on 13-10-2006 under LT IV tariff with connected load of 32960 watts. According to the opposite parties on 09-05-2007, an inspection was conducted by their officials and they prepared a mahazar, wherein it is stated that the complainant was running a firm in the name of “Eazy Learn Training Projects & Placements” a training centre giving training for IT and other professionals. It is further stated that the tariff applicable to the complainant is LT VII A. The complainant maintains that the company is entitled to get the tariff changed from LT VII A to LT IV in view of Ext. A7 licence issued by Software Technology Parks of India dated 15-09-2010.

7. During the proceedings in this Forum, the complainant took a stand by relying on Ext. A25 (incomplete version of the above referred tariff) and contended that the complainant company is included in Tariff LT VI B. We have carefully gone through the tariff's as per Schedule of Tariff and terms ad conditions for retail supply by K.S.E. Board with effect from 01-01-2010. LT IV, LT VI B and LT VII A is quoted for convenience.

“LOW TENSION – IV (LT- IV) - INDUSTRY

Tariff applicable for general purpose industrial loads (single or three phase) viz., grinding mills, flour mills, oil mills, rice mills, saw mills, ice factories, rubber smoke houses, prawn peeling units, floriculture activities, tyre vulcanizing/retreating units, workshops using power mainly for production and/or repair, pumping water for non-agricultural purpose, public water works, sewage pumping, power laundries, hatcheries, screen printing of glass ware or ceramic, printing presses, bakeries (where manufacturing process and sales are carried out in the same premises) diamond cutting units, stone crushing units, book binding units with allied activities, garment making units, electric crematoria, pyrolators installed by local bodies, mushroom farms, shrimp farms, SSI units engaged in computerized colour photo printing, computer consultancy service units with SSI registration engaged in software services and data processing activities and desktop publishing, software units, audio/video cassette/CD manufacturing units, dairy farms, agricultural nurseries (without sale), tissue culture units, granite cutting units (where boulders are cut into sheets in the same premises), Cardamom drying and curing units, and units carrying out extraction of oil in addition to the filtering and packing activities carrying out in the same premise under the same service connection.

LT – IV Industrial --------------------------------------------------------------------------

Fixed Charge Rs. Per KW or part thereof per Month 45

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Energy Charge (Paise/kWh) 325

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LT – VI (B)

The tariff applicable to offices and institutions under State/Central Government, Corporations, Boards under State/Central Government/Local bodies, hostels of educational institutions affiliated to Universities or under the control of the director of technical/medical education/public instruction or such other officers of government or run by the government or state social welfare board, hostels run by institutions that are registered under cultural, scientific and charitable societies Act and exempted from payment of income tax. KHRWS pay wards and institutions of KHRWS, travelers bungalows, guest/rest houses under government, type writing institutes, private hospitals, private clinical laboratories, X-ray units, private mortuaries, private blood banks, private scanning centres, offices of advocates/chartered accountants/tax consultants/ architects/social organisations, press clubs, museum/zoo, computer training institutes, offices of political parties not approved by the Election Commission of India and collection centres of 'FRIENDS' single window service centres under department of Information Technology, Policy Clubs and Akshaya-e-centres.

LT – VI (B) Non-Domestic

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Fixed Charge Rs. per kW or part thereof per Month 55

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Upto 500 kWh - 450

Energy Charge (Paise/kWh) Above 500 kWh - 590

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LOW TENSION – VII (LT – VII) COMMERCIAL

LT VII (A)

Tariff for commercial consumers such as display lights, cinema studios, commercial premises, hotels and restaurants (having connected load exceeding 1000W), showrooms, business houses, private hostels/lodges/guest/rest houses, freezing plants, cold storages, milk chilling plants, bakeries (without manufacturing process), Audio/video cassette recording/duplication units, CD recording units, petrol/diesel/LPG/CNG bunks, Automobile service stations, all construction works, installations of cellular mobile communications/cable TV networks, satellite communications, offices/exchanges of telecom companies, Offices or institutions of AIR, Doordarshan, radio stations, insurance companies, call centres and marble cutting units, Agricultural Nurseries (with sale) and Units carrying out filtering and packing and other associated activities using extracted oil brought from outside.

LT – VII (A) Commercial

-------------------------------------------------------------------------- Fixed Charge Rs. per kW or part

thereof per Month Single Phase - 50

Three Phase – 100

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Energy Charge (Paise/kWh) Up to 100 kWh - 545

Up to 200 kWh - 605

Up to 300 kWh - 675

Up to 500 kWh - 730

Above 500 kWh - 805”

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8. Indisputably, the complainant company is a computer training institute which is included in LT VI B tariff. It is crystal clear that the complainant company neither included in LT IV – Industry tariff nor in LT VII A Commercial tariff belongs only to LT VII B tariff where nowhere else can it be accommodated. DW1 the present Assistant Executive Engineer deposed that he was not a member of the squad who conducted the inspection at the complainant company and prepared Ext. A1 mahazar. He further went to state that the persons who prepared Ext. A1 mahazar are still in service. In short, the opposite party failed to prove the veracity of Ext. A1 mahazar before this Forum beyond a shadow of reasonable doubt especially, since the complainant has vehemently challenged the genuineness of the same. So, we are not necessarily to place any reliance on Ext. A1 mahazar for reasons stated above.

9. Now, we are only to direct the opposite party to issue a fresh statement of arrears treating the consumption of electricity by the complainant company afresh under LT VI B tariff from the inception of the electricity connection on 13-10-2006 as issued under LT IV tariff, which would necessarily meet the ends of justice. It is made clear that the complainant is entitled to get the remitted amounts under LT VII A adjusted in the bill to be issued to the complainant as per tariff LT VI B. The excess amount if any remitted to be adjusted against the future bills. The parties to this complaint have raised many contentions to substantiate their respective cases naturally, however, a public Forum is not necessarily to call back a matter which has well been settled.

9. Point No. iv. :- Matters well being settled without dispute to either of the parties, we refrain from awarding any costs.

10. In the result, we partly allow the complaint and direct as follows :

1. The opposite parties shall jointly and severally issue a fresh electricity bill to the complainant treating the consumption of the complainant under LT VI B category from 13-10-2006.

2. The opposite parties shall adjust the remittances made by the complainant company in the bill to be issued under LT VI B tariff.

3. The complainant is directed to remit the future electricity charges under LT VI B category.

4. The directions are in accordance with the aforementioned observations.

5. The complainant shall take steps to regularize the excess connected load if any.

The order shall be complied with, within a period of one month from the date of receipt of a copy of this order.

Pronounced in open Forum on this the 31^st day of January 2012

Forwarded/By Order, Sd/- A. Rajesh, President.

Sd/- Paul Gomez, Member.

Sd/- C.K. Lekhamma, Member.

Senior Superintendent.

A P P E N D I X

Complainant's Exhibits :-

Opposite party's Exhibits :: Nil

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