2019 (5) TMI 707

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....as determined by the Commission and thereafter affirmed in a review petition, vide orders dated 30.06.2003 and 04.12.2003 respectively. On appeal, the Appellate Tribunal for Electricity, New Delhi vide judgment dated 04.10.2006 in Appeal Nos. 135140 of 2005, approved the methodology for ascertaining the FERV; however, with respect to apportionment of the FERV, the appeal was allowed and FERV was directed to be apportioned only in respect of debt liability. It is this judgment of the Appellate Tribunal for Electricity, New Delhi which is in challenge before us. 2. The appellant is a transmission company which plans, executes and makes available transmission systems for conveyance of power from one place to another. The tariff which it cha....

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....ubstantial question of law. Regulation 1.13(a) of Central Electricity Regulatory Commission  (Terms and Conditions of Tariff) Regulations, 2001 ["Tariff Regulations, 2001"] which has been cited before us to buttress the argument of apportionment of FERV does not in fact provide for apportionment of FERV and rather, is restricted only to the methodology of calculation of FERV. This methodology of FERV calculation is not in challenge before us and has already been affirmed by the CERC as well as the Appellate Tribunal for Electricity, New Delhi. No rule, regulation, statute or precedent has been cited before us to substantiate the argument that post calculation FERV needs to be necessarily apportioned in a debtequity ratio, much less to ....

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....and the absence of an independent regulatory authority. The Act also aimed at protecting and improving the financial health of the State Electricity Boards, which were losing heavily on account of irrational tariffs and lack of budgetary support. Thus, noting the premise on which the Act was enacted and the fact that the Tariff Regulations, 2001 prescribed under the aegis of this Act do not provide for apportionment of FERV in a particular debtequity ratio, this Court is not inclined to interfere in the matter. 10. Further, the present dispute arises with respect to tariff charged between 01.04.2001 and 31.03.2004 on account of FERV calculation and apportionment. Any variation in the apportionment of FERV now, for the abovementioned peri....