GUJARAT ELECTRICITY BOARD vs AHMEDABAD ELECTRICITY CO. LTD. & ORS.

The Supreme Court held that under Section 57A of the Electricity Supply Act, 1948, the State Electricity Board has the authority to appoint a Rating Committee if it believes the licensee has overcharged consumers. The Court clarified that the second proviso to Section 57A does not prevent the constitution of a Rating Committee solely because a dispute has been referred to the Central Electricity Authority for arbitration. The High Court's ruling that the appointment of the Rating Committee was illegal was overturned, affirming the Board's right to act in the interest of consumers.