Fadnavis letter: SG flags power tribunal to CJI

In a letter addressed to Prime Minister Narendra Modi, Maharashtra Chief Minister Devendra Fadnavis recently raised concerns over the Appellate Tribunal for Electricity (APTEL) allegedly showing favoritism towards private power developers. Solicitor General Tushar Mehta subsequently requested Chief Justice Surya Kant to investigate the tribunal's operations.

Mehta sought urgent consideration of an appeal filed by the Maharashtra Electricity Regulatory Commission (MERC) against the tribunal's decision not to refer a case back to the state regulator for a fresh review.

MERC argued that APTEL's handling of the case was improper, stating that they had dismissed the regulator's submissions and improperly accepted the tribunal's decision. They pointed out that Mehta had thoroughly examined the notification and the impugned order during the appeal proceedings. The regulator had determined that the central government's May 5, 2022 notification did not apply to JSW Energy Ltd, an intra-state power plant, and thus the Power Purchase Agreement rates were relevant.

The state electricity distribution company, Maharashtra State Electricity Distribution Co (MSEDC), had disagreed with MERC's decision and brought the matter before APTEL. When MERC realized they had made a jurisdictional error, they requested APTEL to return the case for reconsideration, which the tribunal refused. MERC contended that APTEL accused their reconsideration request as an attempt to aid MSEDC and accused the tribunal of insinuating a forum shopping motive.

Fadnavis cited instances of APTEL's arbitrary and unfair treatment of public utilities and implored Prime Minister Modi to examine the tribunal's functioning to guarantee justice and protect the interests of government companies.