Madras High Court
Administrative and Public LawContract Law

Outstanding dues for electricity supplied must be adjusted against current charges before disconnection.

M/S.Sri Selvabathi Mills pvt ltd vs Tamilnadu Electricity Regulatory Commission,

Madras High CourtJUDGMENT: September 30, 20262 MIN READSOURCE JUDGMENT
Outstanding dues for electricity supplied must be adjusted against current charges before disconnection.. M/S.Sri Selvabathi Mills pvt ltd vs Tamilnadu Electricity Regulatory Commission,. Madras High Court. LawLens
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The petitioner sought a writ of mandamus to restrain the respondents from collecting current-consumption charges, demand charges, and arrears until they paid or adjusted ₹6,42,360 allegedly due to it for 2025–2026.

Source reference: p. 2

The parties submitted that the matter was covered by the Court’s earlier order in W.P. No. 38309 of 2024 and could be disposed of on the same terms.

Source reference: p. 2

The earlier order directed adjustment of amounts due to the petitioner against its current-consumption and demand charges, and barred coercive disconnection until the adjustment was complete.

Source reference: pp. 4–5
02

Issues

1. Whether the respondents should be directed to adjust the amount due to the petitioner against its current-consumption and demand charges.

Source reference: pp. 2, 5–6

2. Whether the respondents should be restrained from taking coercive steps to disconnect the petitioner’s electricity supply until the amount is adjusted.

Source reference: p. 5
03

Law Applied

In exercising its jurisdiction under Article 226, the Court applied the approach adopted in *M/s. Rajaguru Spinning Mills P. Ltd. v. Tamil Nadu Electricity Regulatory Commission*, W.P. Nos. 6776 of 2020 batch, order dated 28 October 2021, as followed in subsequent cases.

Source reference: pp. 4–5

That approach permits outstanding amounts payable by the electricity distribution company to be adjusted against the consumer’s current-consumption or open-access charges, and bars coercive disconnection while the adjustment remains incomplete.

Source reference: pp. 4–5

The Court applied this precedent through its earlier order in W.P. No. 38309 of 2024.

Source reference: pp. 2–5
04

Reasoning

The parties agreed that the petitioner’s case was covered by the prior order in W.P. No. 38309 of 2024.

Source reference: p. 2

Relying on that order and the precedent it applied, the Court disposed of the petition on the same terms, without setting out a separate analysis of the petitioner’s claim.

Source reference: pp. 5–6

The judgment does not independently restate the amount to be adjusted in its final paragraph.

Source reference: no citation
05

Holding

The Court disposed of the writ petition on the same terms as the earlier order and made no order as to costs; the connected miscellaneous petition was closed.

The adopted terms provide for adjustment of the amount due against the petitioner’s current-consumption and demand charges, and prohibit coercive disconnection until the outstanding amount is adjusted.

Source reference: p. 5
Madras High Court

Original Court PDF

M/S.Sri Selvabathi Mills pvt ltdvsTamilnadu Electricity Regulatory Commission,

Madras High Court · September 30, 2026

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