Jharkhand High Court Strikes Down Excess Electricity Duty, Benefits Industrial Consumers

Ranchi: The Jharkhand high court has struck down the excess duty charged by the electricity department by virtue of the Jharkhand Electricity Duty (First Amendment) Act 2021. The court has also held the amendment to be ultra vires and has struck it down which will benefit industrial consumers in the state.A division bench of HC Chief Justice Tarlok Singh Chauhan and Justice Rajesh Shankar on Jan 5 has held that the practice of the electricity department to charge consumption of power by percentage of “net charges” is wrong. The court held that electricity should be charged as per the units consumed by a consumer and not on the basis of net charges.The court in its order has also observed that the excess amount charged by the electricity department shall be refunded to the consumers.The HC was hearing a batch of writ petitions led by M/s Pali Hill Brewery Private Limited and several other companies who had challenged the amendment.