{"id":5761,"date":"2014-12-09T19:16:10","date_gmt":"2014-12-09T13:46:10","guid":{"rendered":"http:\/\/lex-warrier.in\/?p=5761"},"modified":"2023-07-01T15:52:11","modified_gmt":"2023-07-01T15:52:11","slug":"subsidy-enforced-matter-right","status":"publish","type":"post","link":"https:\/\/lex-warrier.in\/archives\/subsidy-enforced-matter-right.html","title":{"rendered":"Subsidy cannot be enforced as a matter of right"},"content":{"rendered":"<p style=\"text-align: justify;\">Supreme Court while dismissing the appeals of heavy industries in Uttar Pradesh in <a href=\"http:\/\/judis.nic.in\/supremecourt\/imgs1.aspx?filename=42144\" target=\"_blank\" rel=\"noopener\">Paschimanchal Vidyut Vitaran Nigam v. Adarsh Textiles<\/a> said that, &#8220;<em>granting subsidies in power tariff to certain sectors is the prerogative of the State Government and that &#8220;subsidy being a concession could not be enforced as a matter of right<\/em>.&#8221; Court further observed that, granting subsidies in\u00a0power tariff\u00a0to certain sectors is the prerogative of the state government and the electricity regulatory commission has no authority to burden the state by extending the benefit to heavy industries.<\/p>\n<p style=\"text-align: justify;\">The government had granted flat rate to farmers, weavers and light power consumers according to a policy decision. However, the state regulatory commission took the view that the policy had the effect of altering the rate schedule approved by it. Hence, it issued an order restraining all electricity supply undertakings in the state from implementing the government order.<\/p>\n<p style=\"text-align: justify;\">However, Allahabad High Court dismissed the petition of the state power corporation opposing it. On subsequent appeal, the Supreme Court ruled that the High Court was wrong in extending the subsidy to heavy industries.<\/p>\n<p style=\"text-align: justify;\">Supreme Court further observed that, &#8220;<em>it is the prerogative of the state governments to extend the benefit of subsidy to a class of consumers; subsidy being a concession could not be enforced as a matter of right<\/em>&#8220;. Judgment further added that, <em>the commission was bound to act according to the directives of the government under the provisions of the\u00a0<\/em><em>Electricity Act\u00a02003 and the Reforms Act 1999<\/em>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court while dismissing the appeals of heavy industries in Uttar Pradesh in Paschimanchal Vidyut Vitaran Nigam v. Adarsh Textiles said that, &#8220;granting subsidies in power tariff to certain sectors&hellip;<\/p>\n","protected":false},"author":1,"featured_media":5323,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"Granting #subsidies in #powertariff to certain #sectors is #prerogative #stategovernment","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[47],"tags":[1093,1094,1235,1400,2453,2540,2762,3230,3241],"class_list":["post-5761","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legal-update","tag-electricity-act","tag-electricity-reforms","tag-flat-rate","tag-heavy-industries-in-uttar-pradesh","tag-paschimanchal-vidyut-vitaran-nigam-v-adarsh-textiles","tag-power-tariff","tag-regulatory-commission","tag-subsidy","tag-supreme-court","clearfix","entry"],"jetpack_publicize_connections":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v23.4 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Subsidy cannot be enforced as a matter of right<\/title>\n<meta name=\"description\" content=\"state governments to extend the benefit of subsidy to a class of consumers; subsidy being a concession could not be enforced as a matter of right\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/lex-warrier.in\/archives\/subsidy-enforced-matter-right.html\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Subsidy cannot be enforced as a matter of right\" \/>\n<meta property=\"og:description\" content=\"state governments to extend the benefit of subsidy to a class of consumers; subsidy being a concession could not be enforced as a matter of right\" \/>\n<meta property=\"og:url\" content=\"https:\/\/lex-warrier.in\/archives\/subsidy-enforced-matter-right.html\" \/>\n<meta property=\"og:site_name\" content=\"The Lex-Warrier: Online Law Journal\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/lex.warrier.page\/\" \/>\n<meta property=\"article:published_time\" content=\"2014-12-09T13:46:10+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-07-01T15:52:11+00:00\" \/>\n<meta name=\"author\" content=\"Lex-Warrier\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@LexWarrier\" \/>\n<meta name=\"twitter:site\" content=\"@LexWarrier\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Lex-Warrier\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/lex-warrier.in\/archives\/subsidy-enforced-matter-right.html#article\",\"isPartOf\":{\"@id\":\"https:\/\/lex-warrier.in\/archives\/subsidy-enforced-matter-right.html\"},\"author\":{\"name\":\"Lex-Warrier\",\"@id\":\"https:\/\/lex-warrier.in\/archives\/#\/schema\/person\/ab2bb19b344a2bfcbc373777495f8f82\"},\"headline\":\"Subsidy cannot be enforced as a matter of right\",\"datePublished\":\"2014-12-09T13:46:10+00:00\",\"dateModified\":\"2023-07-01T15:52:11+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/lex-warrier.in\/archives\/subsidy-enforced-matter-right.html\"},\"wordCount\":256,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/lex-warrier.in\/archives\/#organization\"},\"image\":{\"@id\":\"https:\/\/lex-warrier.in\/archives\/subsidy-enforced-matter-right.html#primaryimage\"},\"thumbnailUrl\":\"\",\"keywords\":[\"Electricity Act\",\"Electricity Reforms\",\"flat rate\",\"Heavy industries in Uttar Pradesh\",\"Paschimanchal Vidyut Vitaran Nigam v. 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