Telegraph Act | When Central Govt Allows Laying Of Electricity Lines, Licensee Need Not Notify Or Seek Permission From Landowners: Telangana HC

The Telangana High Court has dismissed a plea filed by M/s SNM Developers Pvt Limited praying for stoppage of laying of overhead electricity transmission lines over the property of the developers by holding that when the Central Government confers upon any licensee the power to lay electricity lines, the licensee does not need to notify or seek permission from landowners and the provisions of the Telegraph Act, 1885 will apply.

The judgment was passed by the Division Bench of Chief Justice Alok Aradhe and Justice Anil Kumar Jukanti in an appeal challenging the order of the single judge dismissing the claim of the appellants seeking directions against the Warora Kurnool Transmission Limited to stop laying of overhead electricity lines.

The Bench further held that it was open to the Developers to seek compensation but is not entitled to prior consent. It said:

"So far as the submission that the prior consent of the appellant has not been obtained, it is pertinent to note that Rule 3(4) of the 2006 Rules itself provides that the rule shall not effect the powers conferred upon any licensee under Section 164 of the Electricity Act, 2003. It is pertinent to note that the provisions of the 2006 Rules apply in case of work contemplated by Section 67 of the Electricity Act, 2003, and not under Section 68 of the Electricity Act, 2003. Admittedly, the work of laying down the transmission line has been completed and the transmission line has been commissioned."

The petitioner had contended that it was a developer and had developed the land in Garvipally village, Mahaboobnagar district over 280 plots, after acquiring requisite sanctions and permits. 

It was submitted that in January 2022 the appellant came to know that surveys were being conducted on the developed site and upon enquiry found out that Warora Kurnool Transmission Limited was assessing the land to lay overhead electricity lines.

The petitioner/appellant approached the Court and contended that no notice or permission was sought from it as stipulated under section 68 of the Electricity Act, 2003 before laying the overhead lines.

However, it was submitted that the single judge dismissed the suit of the appellant, giving rise to the present appeal.

The appellant contended that when overhead lines are being laid, the Works of Licensees Rules, 2006 would apply, and the licensee is bound to seek prior consent.

The transmission corporation on the other hand contended that it was a licensee of the Government of India, Ministry of Power and hence the Telegraph Act would apply to it.

The Bench after a thorough analysis of the facts held that when the Central Government licenses the power of laying overhead lines, provision 167 of the Electricity Act,  and consequently the provisions of the Telegraph Act will apply to the licensee.

"While exercising powers under Section 164 of the Electricity Act, 2003, the authorities are under an obligation to follow the provisions of the Indian Telegraph Act, 1885 (hereinafter referred to as, "the 1885 Act"). Under Section 10(b) of the 1885 Act, the appellant is only entitled to the right of user and is entitled to seek compensation in case the transmission line is laid over its property. Section 16(3) of the 1885 Act further contemplates that in case a person is aggrieved by the quantum of compensation, he can approach the District Judge seeking enhancement of compensation, it said,

With that observation the Court refrained from interfering with the order passed by the Single judge and left it open to the petitioner to seek compensation before the appropriate forum.

WA: 382 of 2022

Counsel for appellant: Advocate Hari Haran

Counsel for the respondents: B. Narasimha Sharma ( Addl Solicitor General) T. Seikanth Reddy ( GP for Revenue) L. Ravi Chander, Senior Counsel representing Sarang Afzalpurkar.

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