TMI Blog2019 (5) TMI 707X X X X Extracts X X X X X X X X Extracts X X X X ..... 1.04.2001 and 31.03.2004 on account of FERV calculation and apportionment. Any variation in the apportionment of FERV now, for the abovementioned period, will consequently be passed on to the consumers. This will be unfair to the consumers who were not consumers for the abovementioned period but will eventually bear the brunt of transactions which took place 1518 years ago. This is another ground for noninterference in the present matter. Appeal dismissed. - CIVIL APPEAL NO. 684 OF 2007, CIVIL APPEAL NO. 13452 OF 2015 - - - Dated:- 9-5-2019 - JUSTICE N.V. RAMANA , JUSTICE MOHAN M. SHANTANAGOUDAR And JUSTICE INDIRA BANERJEE JUDGMENT N.V.RAMANA, J . Civil Appeal No.684 of 2007 1. The presen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t is thereafter divided into debt and equity, on the basis of a normative debtequity ratio. As a natural corollary, even the FERV needs to be apportioned both towards debt and equity. Further, he contends that FERV has been apportioned as such, as a matter of practice. 5. On the other hand, the learned counsel for respondent no.1 disputed the existence of such practice. He contended that the Electricity Regulatory Commissions Act, 1998 [ the Act ] was enacted to do away with such practices. He referred to Regulations 1.3 and 1.7 of Tariff Regulations, 2001 and argued that liability accrued on account of FERV can be recovered by the appellants directly from respondent no.1 and the question of capitalization of FERV does not arise. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lations shall apply where the capital cost based tariff is determined by the Commission. 1.7 Recovery of Income Tax and Foreign Exchange Rate Variation shall be done directly by the utilities from the beneficiaries without filing a petition before the Commission. In case of any objections by the beneficiaries to the amounts claimed on these counts, they may file an appropriate petition before the Commission. (emphasis supplied) 8. This has not been done in the present case, i.e., Civil Appeal No. 684 of 2007. Further, FERV is sought to be capitalized by the appellant in the normative debtequity ratio of 50:50 as a matter of practice, without citing any rule, regulation, statute or precedential law. ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
