Reliance Energy Ltd said on Friday the Appellate Tribunal for Electricity has quashed a Maharashtra Electricity Regulatory Commission order that restricted the company from offering rebates to retail consumers in Mumbai.
The company started giving rebates to consumers totalling about Rs 350 crore (Rs 3.5 billion) over a six-year period after Tata Power Company began supplying electricity directly to retail consumers in REL's area.
On a complaint filed by TPC, MERC had passed an order in February 2004 holding that REL cannot give such rebates.
However, on an appeal filed by REL, the tribunal on May 22 set aside the MERC order, the Anil Ambani group firm informed stock exchanges.
The Tribunal had upheld two petitions by REL against Tata Power. In the first case, the ATE had ruled that TPC cannot sell electricity directly to retail consumers in REL's area.
In the other case, the tribunal had said giving rebates by REL did not violate any law.
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