DELHI ELECTRICITY REGULATORY COMMISSION versus TATA POWER DELHI DISTRIBUTION LIMITED

Case summary from SCR

Issue for Consideration Whether the depreciation under the applicable tariff regulations must necessarily be allowed over the entire technical useful life of an asset irrespective of the period during which the asset is actually utilised for supply of electricity; 2011 Regulations confers an absolute right upon the generating utility to recover entire capital cost over the useful life of the asset, even where the asset ceases to supply electricity to the consumer; whether the APTEL erred in law in disregarding the regulatory framework and approval