Madras High Court
Administrative and Public LawConstitutional Law

A pending APTEL appeal does not stay implementation of tariff-order protections for surplus solar energy.

M/s.Majestic Exports vs TAMIL NADU ELECTRICITY REGULATORY COMMISSION

Madras High CourtJUDGMENT: September 30, 20262 MIN READSOURCE JUDGMENT
A pending APTEL appeal does not stay implementation of tariff-order protections for surplus solar energy.. M/s.Majestic Exports vs TAMIL NADU ELECTRICITY REGULATORY COMMISSION. Madras High Court. LawLens
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The petitioner challenged Clause 5(e) of its Energy Wheeling Agreement dated 1 March 2022, seeking its revision to conform with paragraph 5.5.8 of the Tamil Nadu Electricity Regulatory Commission’s Solar Tariff Order No. 9 of 2020.

Source reference: p. 1–2

It also sought payment for surplus solar energy at 75% of the competitive-bidding tariff, stated to be Rs. 3.04 per unit.

Source reference: p. 1–2

The parties submitted that the issue was covered by earlier writ orders directing revision of similar agreements.

Source reference: p. 3, para. 3

The respondents stated that an appeal against the Commission’s order was pending before APTEL.

Source reference: p. 6–7, paras. 4, 6
02

Issues

Whether the respondents should revise the petitioner’s Energy Wheeling Agreement to incorporate the requirements of paragraph 5.5.8 of Solar Tariff Order No. 9 of 2020

Source reference: p. 2, para. 2; p. 7, para. 5

Whether the pending APTEL appeal required the Court to defer directions concerning revision of the agreement and payment

Source reference: p. 6–7, paras. 4, 6
03

Law Applied

Article 226 of the Constitution empowers the High Court to issue appropriate writs, including mandamus.

Source reference: no citation

Paragraph 5.5.8 of Solar Tariff Order No. 9 of 2020, read with the Commission’s order dated 11 May 2023 in M.P. No. 47 of 2021, supports payment for eligible energy supplied over and above the sanctioned limit at 75% of the tariff fixed by the Commission or, where no tariff is fixed, 75% of the tariff discovered through competitive bidding.

Source reference: p. 4–5, extracted para. 5

The Court also followed its earlier directions in W.P. Nos. 31457 and 49777 of 2025, which applied the same approach to similar agreements.

Source reference: p. 3, para. 3; p. 6, para. 3
04

Reasoning

The Court treated the dispute as covered by its earlier writ decisions, which had directed the respondents to bring inconsistent agreement clauses into conformity with the Commission’s tariff order.

Source reference: p. 6–7, paras. 4–6

It therefore directed revision of the petitioner’s agreement on the same terms.

Source reference: p. 6–7, paras. 4–6

Although an appeal was pending before APTEL, the Court held that the respondents need not await its outcome to comply with the directions; they could proceed in accordance with law after APTEL decided the matter.

Source reference: p. 6–7, paras. 4–6
05

Holding

The Court disposed of the writ petition and directed respondents 2 to 4 to revise the relevant agreement clause by incorporating paragraph 5.5.8 of the tariff order within six weeks from uploading of the web copy.

Any amount payable to the petitioner was to be settled within eight weeks after the modification.

Source reference: p. 7, paras. 5–7

Compliance was not to be deferred pending the APTEL appeal, without prejudice to the authorities’ ability to act in accordance with law after that appeal is decided.

Source reference: p. 7, paras. 5–7

No costs were awarded.

Source reference: p. 7, paras. 5–7
06

Acts & Sections Cited

1 provisions across 1 statute referred to in this judgment. Linked provisions open on LawLens.

Solar Tariff Order No. 9 of 2020 dated 16.10.20201

Section 5.5.8
Madras High Court

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M/s.Majestic ExportsvsTAMIL NADU ELECTRICITY REGULATORY COMMISSION

Madras High Court · September 30, 2026

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