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Penalty for paying electricity bill at noncommercial rate

Querist : Anonymous (Querist) 28 September 2015 This query is : Resolved 
Hi
I have a paying guest and for the last 6 months I had paid the electricity bill at non- commercial rate. But today AE came for inspection and asked for a huge penalty.
What would be the penalty amount for paying electricity bill at residential rate rather than commercial rate
Thanks
K.S.Srinivas (Expert) 29 September 2015
It is based on the terms and conditions of supply and also based on the assessment order. However, the assessment is based on the prescribed tariff for a particular category + penalty.
Querist : Anonymous (Querist) 29 September 2015
Thanks Sir !
but he is saying I need to pay close to 1 lakh Rs as penalty.. Hence I would like to know if penalty is a fixed amount or calculated based on some formula
H.M.Patnaik (Expert) 29 September 2015
Gentleman,
You have mentioned that you are a Paying guest,so, i expect that you are living with a family in a residential locality. If ,this is correct then there is no question of charging commercial rate of electricity tariff applicable in your city.

So pl. enlighten on the following points:
1)Name of the city as well as locality where you have putting up now;
2) What are the terms of rent agmt. as regards payment of monthly electricity charges ;
3) State whether you are using the tenanted premises to run any business/ profession; &
4) Whether you have received any demand/ notice from local electricity authority in your name and state its content if any.
Querist : Anonymous (Querist) 30 September 2015
Hello Mr Patnaik
I own a paying guest with 12 girls and its residential layout.. I myself am not a paying guest and I dont live in that place.
1. So I would like to know if there is any law which says that beyond certain number of girls in the PG, the electricity rate is switched from domestic to commercial.
2. The AE gave me a notice asking me to shift to commercial electricity rate + asking me to pay a penalty.. I am ready to shift my meter from domestic to commercial but the clarification is regarding the huge penalty he is asking me to pay !
Thanks
Querist : Anonymous (Querist) 30 September 2015
I live in Bangalore
Querist : Anonymous (Querist) 02 October 2015
Hello Mr Patnaik I own a paying guest with 12 girls and its residential layout.. I myself am not a paying guest and I dont live in that place. 1. So I would like to know if there is any law which says that beyond certain number of girls in the PG, the electricity rate is switched from domestic to commercial. 2. The AE gave me a notice asking me to shift to commercial electricity rate + asking me to pay a penalty.. I am ready to shift my meter from domestic to commercial but the clarification is regarding the huge penalty he is asking me to pay. I live in Bangalore
Guest (Expert) 02 October 2015
No Penalty Could be Laid to an Anonymous
Guest (Expert) 02 October 2015
Anonymous Query
T. Kalaiselvan, Advocate (Expert) 04 October 2015
In the notice itself he might have given the rates for penalty as per the existing rules, you may verify that, if you are not satisfied then you may write back seeking clarification about the same or can prefer an appeal against the notice with the appeal tribunal.


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