New Delhi: A consumer court has directed the
Uttar Pradesh Power Corporation to pay a compensation of Rs 10
lakh for not providing electricity connection to a cement
factory which amounted to "gross deficiency" in service.
The National Consumer Commission also imposed a cost of
Rs 20,000 on the power corporation for "arbitrary" acts of its
officials in the case.
The Commission said that once the corporation decided to
provide electricity connection in exchange of payment, it
could not revoke the decision to the disadvantage of the
complainant on the technical ground that cement grinding was
not a continuous process industry.
"The Uttar Pradesh Power Corporation Ltd can not derive
any advantage of the alleged mis-statement. For this
capricious and arbitrary acts of its officials which
tantamount to gross deficiency, it is liable to duly
compensate the complainants," it said.
The Commission bench, comprising members Justice K S
Gupta and Rajyalakshmi Rao, passed the order on a petition by
complainant Kalicharan Cement Private Ltd through its MD
Anurag Gaur seeking Rs 32.5 lakh compensation for the losses
suffered by it after electricity connection was not released.
The company had contended that it had to close the plant
as it was not economically viable to run it after sustaining
loss of production due to non-availability of electric supply.
The UP Power Corporation entered into an agreement with
the company to provide electricity connection in return of
payment of the agreeable amount.
But it failed to provide connection which forced the
company to move to the consumer court for relief.
PTI
First Published: Wednesday, March 10, 2010, 18:05