The Court, therefore, held that in exercise of appellate powers, it cannot interfere in concurrent findings arrived by MERC as it is an independent body to determine tariff.
“Electricity Act 2003 read with Maharashtra govt GOM does not make tariff only through bidding route. This case has brought to notice the ad hoc nature of state electricity transmission. MSETCL flip flops have led to waste of time,” the Court added.
Therefore, it directed all State Electricity Regulatory Commissions to frame guidelines on determination of tariff as per section 61 of Electricity Act in accordance with the national policy and dismissed the appeal.
“We direct all State Commissions to frame guidelines on determination of tariff as per Section 61 of the 2003 Act in accordance with the national policy. benefits have to percolate to end consumers. Thus appeal dismissed,” the Court said.
The judgment said the law that both cost plus and tariff based competitive bidding are available to a Commission while setting up Transmission projects. Competitive Bidding is not a dominant route, the Court said putting the Section 62 vs. Section 63 controversy to rest.