HC raps Delhi Govt, electricity regulator DERC
New Delhi: The Delhi High Court on Tuesday
came down heavily on the city government and the DERC after
perusing a file relating to the appointment of members of the
electricity regulator, saying "it is not a happy state of
"I have seen files in English and Urdu also but not a
mixed a file like this where pages and notings are not in
order," a bench of Chief Justice Dipak Misra and Justice
The observation came after the bench perused the file
relating to the appointment of members of Delhi Electricity
Regulatory Committee, which was provided, though reluctantly,
to the judges by the city government.
The court was hearing a PIL accusing the government of
succumbing to pressure from power discoms and "prohibiting
release of new tariff approved by DERC" on April 29, 2010.
The PIL said the DERC told the government that discoms
were sitting on a combined cash profit of over Rs 300 crore
per month and it was time to reduce the power rates.
"It is the most sorry state and the state (Delhi
government) has to do a pro-active role but the state is lost
despite the fact that it has immense powers," the bench
"Let us evolve a system where all the stakeholders
have confidence. Please think of a Chairman (of DERC) who can
understand the intricacies of the issues as now, we have seen
the mess," it said.
The court was unhappy over the entire exercise
relating to fixing power tariff for the Capital and rapped the
city government and the DERC were going about with process of
fixing a new tariff.
The functioning of the DERC, which is a quasi judicial
body, was not satisfactory, the bench said, adding that the
city government should not have interfered with the former's
decision on fixing new tariff.
The counsel for the city government tried to clarify
the stand saying the selection of the DERC members was a
complex issue and said "There could be some problems. However,
its functioning is satisfactory."
In response to the Bench's earlier remark that it
would order appointment of a retired judge of the court as the
DERC Chairman, the city government said the Supreme Court, in
one of its judgements, has ruled out that possibility.
Highlighting the lapses, advocate Prashant Bhusan
said "a large number of file notings have been tampered with
and it is a serious issue."
Senior advocate Mukul Rohatgi, appearing for one of
the discoms, submitted that the issue of power tariff could be
decided at a later stage but the issue of fuel surcharge be
decided as it was hurting the power companies.
The court then deferred the matter for further hearing
on February 11.
Earlier the court had said "One day one member (of
DERC) says something then changes it and then again takes a
U-turn. Then another member changes decision. Then one goes
left, the other right. Isn't there something called a
The bench had also questioned that how the Delhi
government could ask DERC not to issue the tariff order until
it approves it.