Hyderabad: The management of Taj Mahal Hotels at Abids and Secunderabad has approached Telangana high court challenging a cross-subsidy surcharge of nearly Rs 1 crore imposed by the Telangana Southern Power Distribution Company Limited (TGSPDCL) for the period from 2005-06 to 2014-15.
The surcharge arises from tariff orders issued by the Telangana Electricity Regulatory Commission relating to retrospective energy charge demands.
Under the tariff framework, TGSPDCL issued demand notices seeking Rs 27,58,378 from the Abids branch, operated by Sundar Rao Hotels Private Ltd, and Rs 77,72,135 from the Secunderabad branch, operated by Sundar Taj Mahal Hotels. Earlier, the high court had directed TGSPDCL to consider the objections raised by the hotels.
However, the distribution company rejected the objections, stating that the petitioners had failed to produce valid documentary evidence to establish eligibility for exemption. Aggrieved by the rejection, the hotel management again approached the high court. During the hearing, TGSPDCL submitted that the electricity connections were liable to be disconnected unless 50 per cent of the demanded amount was paid and sought the court’s permission to disconnect the power supply to the hotels. The bench expressed concern over TGSPDCL’s stand and questioned the propriety of seeking judicial directions for disconnection. The court observed that the electricity authorities had failed to follow the prescribed statutory procedures and were unable to discharge their duties in accordance with law, yet were seeking directions from the court to disconnect power supply while the matters were still under consideration.
The bench questioned how the court could issue directions for disconnection under such circumstances. Granting the petitioners an opportunity to submit further contentions, the high court adjourned the matter to Jan 21 for further hearing.