Nagpur: The Supreme Court has ordered the Maharashtra Electricity Regulatory Commission (MERC) to reconsider the review petition filed by the Maharashtra State Electricity Distribution Company Ltd (MSEDCL). MERC has been given 12 weeks to take a fresh decision after consulting all stakeholders. Until then, the existing electricity tariffs will stay unchanged, senior MSEDCL officials confirmed.
The directive comes after MSEDCL challenged the Bombay High Court’s recent decision that struck down MERC’s review order. The HC had allowed both MERC and MSEDCL four weeks to approach the Supreme Court.
In its order, the apex court stated:
“At the outset, counsel for the parties agree that ends of justice would be met if the matter is remanded back to the MERC. We, therefore, remand the review petition to MERC and direct it to decide on it within a period of 12 weeks… Till the review petition is decided, the directions issued by the High Court, particularly at paragraph 48 and 49, shall continue to operate.”
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The court also made it clear that MERC must offer a proper hearing to all stakeholders before issuing any fresh order.
A senior MSEDCL official said the ruling ensures the present tariff structure remains in force for now. “MERC will now decide how to involve all stakeholders before taking a final call on the review petition,” the official said.
Energy expert RB Goenka noted that MERC cannot legally rule on the review petition in its current form, as MSEDCL filed it without following the limited scope of review. “MSEDCL must file a fresh petition covering all relevant factors. If MERC issues an order only on the review petition, it would be illegal, and we will move the tribunal,” he warned.
The dispute traces back to MERC’s March 28 Multi-Year Tariff (MYT) order, which significantly reduced electricity tariffs and was widely hailed as a historic, consumer-friendly move. But MERC stayed its own order after MSEDCL’s appeal and issued a revised tariff on June 25, which experts say sharply increased rates.
This triggered a wave of writ petitions in the Bombay High Court from industry bodies, consumer groups, and energy companies, all arguing that MERC changed major tariff and policy decisions without public hearings or inviting objections. The High Court later quashed the review order, setting the stage for the current Supreme Court intervention.
