Electricity Commission Orders Invalid Without Judicial Member: P&H High Court Sets Aside Decision

Case Name: M/s Ambey Industries v. Punjab State Power Corporation Limited (PSPCL) & Ors.

Date of Judgment: 20 March 2026

Citation: CWP-4732 of 2026

Bench: Hon’ble Mr. Justice Jagmohan Bansal

Held: The High Court held that absence of a Judicial Member in the State Electricity Regulatory Commission during adjudication vitiates the proceedings, rendering the order unsustainable in law.

Summary: The petitioner challenged the order of the Punjab State Electricity Regulatory Commission rejecting its plea against release of electricity connection to another consumer by tapping an existing 66 KV line installed at its own cost.

The primary contention raised was that the impugned order was without jurisdiction as it was passed in violation of the law laid down by the Supreme Court in State of Gujarat v. Utility Users’ Welfare Association, which mandates the presence of a Judicial Member during adjudicatory functions of the Commission.

It was not disputed that at the time of passing the impugned order, no Judicial Member was part of the Commission, though such member was available subsequently.

On merits, the Commission had held that tapping of the 66 KV line was permissible under the Supply Code, 2014, and that even if a line is funded by a consumer, it can be utilized to supply electricity to another consumer in accordance with regulatory provisions.

The High Court, however, confined itself to the legal issue and reiterated that in light of binding precedent, adjudication by the Commission without a Judicial Member cannot be sustained.

Decision: The impugned order dated 22.12.2025 was set aside. The matter was remanded to the Commission for fresh decision in accordance with law. Parties were granted liberty to raise all contentions.