Supreme Court: Upholds High Court order for electricity reconnection on 50% deposit
The Supreme Court dismissed appeals and affirmed the High Court's direction to restore supply upon payment of half the assessed theft amount.
The Supreme Court, by a bench of Justices Manoj Misra and Manmohan, dismissed the appeals filed by Dakshin Gujarat Vij Company Limited and upheld the High Court orders directing the reconnection of electricity supply to Vaibhav Metal Crusher upon payment of fifty percent of the amount assessed under Section 126 of the Electricity Act, 2003.
The dispute arose when the licensee issued supplementary bills alleging electricity theft by the complainant, Vaibhav Metal Crusher, and Jamanbhai Bhuva. The High Courts had ordered that supply could be restored only after the consumer deposited half of the provisional assessment, a condition the licensee challenged as contrary to the statutory scheme.
The Court examined the third proviso of Section 135(1A) and held that ‘payment of the assessed amount’ refers to the sum computed under Section 126, thereby permitting a partial deposit for reconnection. It further clarified that an order under Section 127 is final only with respect to restoration, without prejudice to the Special Court’s civil‑liability determination under Section 154(5). Consequently, both appeals were dismissed, the High Court’s direction affirmed and all pending applications were disposed of.
Read the judgment and its head note on DLJ: Dakshin Gujarat Vij Company Limited vs Vaibhav Metal Crusher (2026 INSC 1157).