Madras High Court
Administrative and Public LawConsumer Protection

Outstanding payments for power supplied must be adjusted against consumption charges before electricity disconnection.

M/S.Poomex Clothing Company, vs Tamilnadu Electricity Regulatory Commission,

Madras High CourtJUDGMENT: September 30, 20262 MIN READSOURCE JUDGMENT
Outstanding payments for power supplied must be adjusted against consumption charges before electricity disconnection.. M/S.Poomex Clothing Company, vs Tamilnadu Electricity Regulatory Commission,. Madras High Court. LawLens
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The petitioner sought a writ of mandamus restraining the respondents from collecting current-consumption charges, demand charges, or arrears until they paid or adjusted an alleged outstanding sum of ₹27,58,049, stated to be payable for 2023–2024.

Source reference: p. 1–2

At the hearing, counsel for both sides agreed 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
02

Issues

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

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

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

Source reference: p. 5, para. 7
03

Law Applied

Exercising its jurisdiction under Article 226 of the Constitution, 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 etc., decided on 28 October 2021, and followed in subsequent similar matters.

Source reference: p. 4–5, para. 6

The stated directions were that outstanding amounts payable to consumers may be adjusted against their current-consumption or open-access charges, with adjustment continuing until the amount is exhausted, and that electricity supply should not be disconnected while the adjustment remains incomplete.

Source reference: p. 4–5, para. 6

The Court treated its earlier order in W.P. No. 38309 of 2024 as covering the present dispute and adopted its terms.

Source reference: p. 2, para. 2; p. 5–6, paras. 7–8
04

Reasoning

The Court did not separately examine the merits or quantify the alleged dues in this order.

Source reference: p. 2, para. 2

Instead, the parties agreed that the dispute was covered by the earlier decision, and the Court relied on the established approach in similar cases.

Source reference: p. 2, para. 2

Applying that approach, it directed adjustment of the amount payable to the petitioner against current-consumption and demand charges, and protection from disconnection until the amount was fully adjusted.

Source reference: p. 5, para. 7
05

Holding

The writ petition was disposed of on the same terms as the earlier order: the respondents were directed to adjust the amount payable to the petitioner against its current-consumption and demand charges until fully adjusted, and not to take coercive steps to disconnect the petitioner’s power supply in the interim.

No costs were ordered, and the connected miscellaneous petition was closed.

Source reference: p. 6, para. 3
Madras High Court

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M/S.Poomex Clothing Company,vsTamilnadu Electricity Regulatory Commission,

Madras High Court · September 30, 2026

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