#Karnataka Electricity Regulatory Commission

Karnataka High Court strikes down KERC's dynamic 'Unitary Qualifying Ratio' (UQR) based on total actual consumption, ruling it violates Rule 3 of Electricity Rules 2005 and contradicts the Supreme Court's Dakshin Gujarat judgment. The Court mandates KERC to reconsider captive plant eligibility thresholds after due consultations, ensuring compliance with statutory proportionality.

The Karnataka High Court reaffirmed that only the Karnataka Electricity Regulatory Commission (KERC) holds statutory power under the Electricity Act, 2003 to fix or revise supervision charges for self-execution works. The Court quashed KPTCL’s unilateral fee revision and directed a refund of excess payments with 8% interest, reinforcing regulatory compliance over arbitrary executive action.