Electricity rate revision under a complete statutory scheme can stand without consumer hearing when notice is limited by statute.

The statutory scheme for revising electricity rates under the Electricity (Supply) Act, 1948, read with the Sixth Schedule, allowed the licensee to revise charges through the prescribed procedure and within the reasonable return ceiling. The invalidity of the State Government's separate notification did not defeat the revision, because the enhancement rested on an independent statutory source. The scheme was held to be complete, with notice confined to specified authorities and no implied right of prior consumer notice or hearing. An objection to the manner of swearing one petition was also accepted, supporting rejection of the writ petitions with costs.

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Issues: (i) Whether the enhancement of electricity charges was invalid because the State Government's notification under Section 3(2)(aa) of the State Act was bad, and whether the licensee's revision could nevertheless stand under the Electricity (Supply) Act, 1948; (ii) Whether consumers were entitled to prior notice and hearing before enhancement of rates under the statutory scheme; (iii) Whether the writ petitions were maintainable in view of the manner in which one petition was sworn.

Issue (i): Whether the enhancement of electricity charges was invalid because the State Government's notification under Section 3(2)(aa) of the State Act was bad, and whether the licensee's revision could nevertheless stand under the Electricity (Supply) Act, 1948.

Analysis: The statutory scheme under Sections 57 and 57-A of the Electricity (Supply) Act, 1948, read with the Sixth Schedule, conferred on the licensee a unilateral right to revise rates subject to the prescribed procedure and the ceiling of reasonable return. The impugned revision was made after notice under the Sixth Schedule and was independent of the State Government's notification. The invalidity of the State notification did not affect the separate statutory basis of the licensee's action, and a step taken under a valid statutory source was not defeated merely because another asserted source of power was bad.

Conclusion: The enhancement remained valid under the Electricity (Supply) Act, 1948, and the challenge to the notification did not invalidate the revised rates.

Issue (ii): Whether consumers were entitled to prior notice and hearing before enhancement of rates under the statutory scheme.

Analysis: The Sixth Schedule prescribed a complete and exhaustive machinery for revision of rates. It required notice to the State Government and the Board, supply of financial and technical data, scrutiny of the proposal, and, where necessary, reference to the rating committee. The scheme was designed to safeguard consumer interest through statutory supervision, and the omission to provide notice to consumers was treated as deliberate. In such a case, principles of natural justice could not be added to the statute to create a hearing right where the legislature had not provided one. The unilateral character of the licensee's right to revise rates also supported exclusion of consumer hearing at the pre-revision stage.

Conclusion: Consumers had no right to prior notice or hearing before the rate enhancement under the Act.

Issue (iii): Whether the writ petitions were maintainable in view of the manner in which one petition was sworn.

Analysis: The objection that one petition was not properly sworn was accepted on the record, as the affidavit was made in a manner not appropriate for an association.

Conclusion: The objection went against the petitioners and supported dismissal.

Final Conclusion: The challenge to the enhanced electricity charges failed on merits, and the petitions were rejected with costs.

Ratio Decidendi: Where a statute creates a complete procedure for revising rates and confines notice to specified authorities, consumer hearing cannot be implied, and an action supported by a valid statutory source is not vitiated merely because an alternative asserted basis is invalid.

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