MAHADISCOM to refund Rs 800 crore to 2 lakh consumers

The consumer organisation went to Maharashtra State Electricity Commission against the MAHADISCOM in 2007.

Update: 2017-09-01 21:37 GMT
MAHADISCOM took additional charges while setting up new connections in the state.

Mumbai: Financially burdened Maharashtra State Electricity Distribution Company (MAHADISCOM) has come under more trouble, as the Supreme Court has directed it to refund around Rs 800 crore to two lakh consumers for taking additional charges from them while installing new electricity connections.

The Maharashtra state electricity consumers organisation has taken up the issue after waiting for nine months for the MAHADISCOM to voluntarily refund the money.

Despite cancelling a few charges like Service Connection Charge, Outright Contribution Charge, the MAHADISCOM took it from the consumers while giving a new connection. These charges are officially removed from the year 2006.  

The consumer organisation went to Maharashtra State Electricity Commission against the MAHADISCOM in 2007. The Commission ordered the company to refund the money against which MAHADISCOM went to the Supreme Court. After 10 years of fight, the court dismissed the appeal by MAHADISCOM, forcing it to pay the refund.

“As per the Supreme Court’s order, MAHADISCOM is supposed to pay Rs 800 crore to the consumers. I feel the amount must have gone up to Rs 1000 crore in these years as MAHADISCOM is wrongfully charging. We want the consumers to get their refund immediately,” Pratap Hogade, convenor of Maharashtra State Electricity Consumer Organisation said on Friday.

Hogade said that the Rs 800 crore was quoted by MAHADISCOM itself in its reply to the state electricity commission.

But the refund amount must have gone up, he added.


He added that many of the consumers are not even aware that they were wrongfully charged. Only a few have complained to the commission.

Hogade said that the MAHADISCOM has to follow the order or else else it will face contempt of the court. “In this case, either MAHADISCOM should voluntarily give refund to the consumers or the consumers should come forward demanding the refund. But the MAHADISCOM has to follow the order else it will be contempt of the court,” he added.

There was no comment from MAHADISCOM on the issue till late in the evening.

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