SC Upholds Electricity Regulatory Commissions' Power To Issue Summons Against A Mine Development Operator

Rajasthan Discom had approached the Supreme Court of India in an SLP against a DB order of Rajasthan High Court, against setting aside of summons issued to an MDO company South West Mining Ltd. which was the MDO of Barmer Lignite Mining Ltd. which is JV between State of Rajasthan 51 per cent and a JSW Entity 49 per cent.

Supreme Court bench headed by CJI Sanjiv Khanna, Justice PV Sanjay Kumar and Justice KV Vishwanathan issued notice and stayed order of the Divison Bench while directing the MDO company to be present before the RERC on May 6, 2025 with all data and documents as was sought by RERC.

Supreme Court has enlarged powers of Electricity Regulatory Commission all across India while determining/fixation of tariff, under section 94 of the electricity act, and in effect held that even a MDO can be summoned and data can be sought while determining the prices for end consumers and general public at large. This is an interim order and matter has been kept in May, 2025 for further hearing.

Appearances:

For the Appellant: Sr. Adv. Shyam Divan and Adv. Kartik Seth, with M/s Chambers of Kartik Seth being the Advocate on Record Firm

For the Respondent: Sr. Adv. Dr Abhishek Manu Singhvi , Adv. Mahesh Agarwal

Case Title: JODHPUR VIDYUT VITRAN NIGAM LTD. & ORS V. SOUTH WEST MINING LIMITED & ORS.

Click here to read/ download the order