NCDRC restores relief for Varanasi unit after power department ignored load cut plea

The National Consumer Disputes Redressal Commission (NCDRC) on 22 October 2026 held that an electricity distribution division in Varanasi was deficient in service for failing to act on a small unit's repeated requests to reduce its sanctioned load. The NCDRC set aside a 2022 order of the Uttar Pradesh State Consumer Disputes Redressal Commission and restored a District Commission order directing that the unit's bills be rectified.

What Happened

According to the order, the owner of a small plastics unit in Varanasi asked the Urban Electricity Distribution Division-III in a letter dated 4 March 1994 to cut the sanctioned load from 59 to 29 horse power, as some machines had been sold. Further letters followed between 1995 and 1998, but the department did not respond and kept sending bills at the higher load.

The District Consumer Disputes Redressal Commission, Varanasi, allowed the complaint on 17 August 2000. It ordered the bills to be rectified from 4 March 1994, the connection to be restored, and the consumer to pay the recalculated balance. The State Commission reversed this on 26 May 2022, holding that the electricity was used for a commercial purpose. The department had claimed dues of Rs 4,21,033 up to May 1999.

The NCDRC held that the department's own 1984 notification required it to inspect the site and pass an order through its Executive Engineer after an application was made. The department could not dispute that the application was made, and it took no action. The NCDRC also held that the State Commission had presumed a commercial purpose without any material on record, while the unit was run to earn a livelihood, which the Consumer Protection Act, 1986 protects.

What It Means

The order holds that when a consumer applies to reduce a sanctioned load, the burden of inspecting and deciding the request rests on the electricity department. Inaction while continuing to bill at the higher load was treated as deficiency in service. It also confirms that a small business run for self-employment can still bring a consumer complaint. Consumers with a similar grievance can contact the National Consumer Helpline (1915) or file through e-Daakhil. The order of a consumer commission may be appealed.

Source: Consumer commission order