KANORIA CHEMICALS AND INDUSTRIES LTD. AND ANR. vs STATE OF U.P. AND ORS. AND VICE VERSA

The Supreme Court upheld the validity of the retrospective amendment to Section 60 of the Electricity Supply Act, 1948, introduced by the Electricity Laws (U.P. Amendment) Act, 1983, which allowed the Electricity Board to revise rates for electricity supply. The Court clarified that the failure to specify the precise manner of rate calculation does not invalidate the rates fixed, and the Board has the authority to revise tariffs multiple times. However, the Court found that the imposition of rates higher than HV-2 on the appellant-company was unjustified under the circumstances, leading to a partial allowance of the appeal.