This civil writ petition challenged an appellate order passed by the Divisional Commissioner, Shimla Division, which had rejected the petitioner’s appeal under Section 127 of the Electricity Act concerning an assessment for the unauthorized use of electricity. The petitioner contended that while the initial notice under Section 126 was strictly confined to a violation of contract demand (1065 KVA against 820 KVA), the subsequent provisional and final assessment orders unilaterally introduced an entirely new ground regarding excess connected load (1213 KW against 818 KW) supposedly derived from the same inspection. The High Court of Himachal Pradesh allowed the petition, set aside the appellate order, and remanded the matter back to the Divisional Commissioner for a fresh decision, holding that the appellate authority failed to examine these material discrepancies between the inspection report, notice, and assessment orders.
- Discrepancies Between Notice and Assessment: Where a notice and a provisional assessment order under Section 126 of the Electricity Act purport to rely on the exact same inspection report but contain material variations and divergent observations (such as excess connected load being introduced at the assessment stage without finding any mention in the initial notice), the proceedings suffer from a patent flaw.
- Duty of the Appellate Authority: The appellate authority under Section 127 of the Act is legally bound to independently examine and delve into core contentions regarding contradictions between initial statutory notices and subsequent final assessments.
- Order Setting Aside and Remand: Failure by the appellate authority to consider vital aspects concerning unilateral expansions of the scope of assessment vitiates the appellate order, requiring it to be set aside and remanded for a fresh adjudication in accordance with the law.
STPL (Web) 2026 HP 565
M/s Next Star Digital v. H.P. State Electricity Board Ltd. and Others (D.O.J. 21.07.2026)
Loading Viewer...






