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PLD 1992 Supreme Court 381

WATER AND POWER DEVELOPMENT AUTHORITY And 2 Other vs MUHAMMAD

CitationPLD 1992 Supreme Court 381
CourtSupreme Court of Pakistan
Judge(s)Muhammad Afzal Zullah, Wali Muhammad Khan
ResultAppeal allowed

1. . MUHAMMAD AFZAL ZULLAH, CJ.-- This appeal through leave of the Court has arisen out of the facts and circumstances as noted in the order for grant of leave to appeal as follows:- "According to the facts stated by the learned counsel it was not a case of fresh connection. The respondent has acquired the property from the previous consumer and it is also admitted that the security deposit of Rs.20,000 made earlier on behalf of the previous consumer was agreed by him to be transferred to the respondent, the new consumer. But as further stated by him the security amount having been increased to Rs.80,000 before the completion of the transaction between the two consumers it was the case of the petitioner that it could demand the enhanced and balance amount of security from the new consumer. On the other hand the view brought under challenge is that the new consumer has become entitled to the use of the previous deposit of security in the same manner as his predecesor-in-interest was entitled to it.

2. Learned counsel has relied on' various provisions, terms and conditions of contract between the parties in order to show that in so far as the security amount is concerned it was a fresh contract between the two willing contracting parties. This point, inter alia, raises question of law of general public importance, accordingly, we grant leave to appeal.

3. In the meanwhile if the respondent furnishes personal security to the petitioners for deposit of the remaining amount, no action shall be taken against him on account of lack of or short deposit of security and that being so the effect of the impugned judgments in this behalf in so far as the declaration of law by the High Court is concerned, shall remain suspended:'

4. Learned counsel for the appellants has relied on Clauses 14(2) .And 24 of what is known as WAPDA Abridged Conditions of Supply (See pages 56 to 63 of the paper book): "WAPDA ABRIDGED CONDITIONS OF SUPPLY Definitions -----------------------

14. Discontinuance of supply.--(1) -assigned, without the written consent of the Authority, any of the benefits of his agreement for supply with the Authority to any other person; or

24. Assignment or transfer etc. Of agreement.--The consumer shall not assign, transfer or part with any of the benefits of his agreement for supply with the Authority, nor shall he, in any manner, part with or create any partial or separate interest thereunder."

5. The learned counsel has also relied on clause VI of the Schedule to the Electricity Act, 1910. It reads as follows:- "VI. Requisition for supply to owners or occupiers in vicinity.--(1) Where after distributing mains have been laid down under the provisions of clause IV or clause V and the supply of energy through those mains or any of them has commenced a requisition is made by the owner or occupier of any premises situate within the area of supply requiring the licensee to supply energy for such .Premises, the licensee shall, within one month from the making of the requisition or within such longer period as the Electric Inspector may allow, supply and have in so far as he is prevented from doing so by cyclones, floods, storms or other occurrences beyond his control, continue to supply, energy in accordance with the requisition: Provided firstly,-------------_---------------------------------- Provided secondly, that the licensee shall be entitled to discontinue such supply- (a)if the owner or occupier of the premises to _which the supply is made by the licensee has not already given security, or if any security already given by him has become invalid, or there is change of owner or occupier and such owner or occupier fails to furnish security according to the prevalent rate, as the case may be, within seven days after the service upon, him of notice from the licensee requiring him so to do, or"

6. Learned counsel for the respondent, however, brought to our notice paragraphs 17 and 18 of the same conditions as noted earlier as well as an office order issued by the appellant on 5-12-1982.

7. They read as follows:- "17.Change of consumer.- --When any person occupies any premises previously occupied by a consumer and desires to be supplied with energy, he shall first clear all the arrears of electricity dues outstanding against the premises and later, as if he were an original applicant enter into an agreement with the Authority and shall, if so required, furnish security to the Authority as prescribed in clause 18 of these. Conditions of supply, and his installation shall be re-rated by the Authority so that such person may not be held responsible for any alteration in the connected load which may have been carried out by the previous consumer without the approval of the Authority.

8. 18.Security deposit---Before commencing or resuming supply to a premises, or, if there is change in the owner or occupier of a premises during the continuance of supply to such premises, the Authority may require a consumer or the owner or occupier of such premises to lodge with the Authority as security for the payment by the consumer of his monthly bills and for the value of meters and other measuring apparatus belonging to the authority on the consumer's premises, a deposit in accordance with the scale prescribed in the Authority's schedule of Consumer's security deposit in force from time to time. The security deposit shall be offered and accepted in cash only and shall not be transferable in the name of any other consumer or same consumer against his other connections."

9. "Office Order: In pursuance of the decisions taken in the Cabinet meeting held on 3rd and 4th November, 1980 it has been decided by the Authority that where the ownership or occupancy of a premises, in which energy is supplied, is changed, there should be no objection to the electric connection being transferred as a matter of course in the name of the new owner or occupier of tile premises applying for the same, provided no extension of line is involved on the premises.

10. 1t has also been decided by the Authority that where the previous owner or occupier of a premises authorises his security deposits, if any, with the Authority to be transferred in the name of the new owner or occupier of the premises, there should be no objection to such deposits, after adjustment of outstanding dues, if any being transferred as a matter of course in the name of the new owner or occupier of the premises.

11. Clauses 17 and 18 of the Authority's Abridged Conditions of supply may be deemed to have been modified to the above extent".

12. Obviously as is apparent from the combined reading of the above reproduced statutory and sub- statutory provisions and directions, the security can be increased by the licensee i.e. The appellant not only in so far as the original consumer is concerned but also the transferee from the original consumer. We agree with the learned counsel that unless the appellant is a party to any agreement between the original consumer and his transferee, it would not be bound by all the covenants between the said two contracting parties. To this there is no cogent reply. ' , Notwithstanding the above conclusions which became apparent during the course of the arguments the learned counsel for the respondent contended that the appellant/licensee under, the Electricity Act has adopted a discriminatory attitude against the respondent. It has not demanded the increase of security from other consumers like the respondent. The learned counsel for the appellant refuted this assertion. We, however, observed that the appellant should try to safeguard its interest as a licensee and through its dealings try to protect the interest of the consumers as well as the tax-payer and the exchequer. Any discriminatory action on its part can be taken note of, independent of proceedings. In this case, however, as the assertion from the respondent's side has not been accepted by the learned counsel for the appellant no further action is necessary in this behalf nor this element by itself can be treated as an impediment in not allowing the appellant to do as it is permitted by the law to do. We, accordingly, allow this appeal and dismiss the respondent's suit. There shall be no order as to costs. This Court, however, shall take up the complaint by respondents' counsel under Article 184(3) of the Constitution independently.

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