law: Electricity Act, 2003
  62. Determination of
  
  tariff.-
  
  1.     
  
    The
  
  Appropriate Commission shall determine the tariff in accordance with the
  
  provisions of this Act for--
  a.      supply of electricity
  
  by a generating company to a distribution licensee:
  Provided
  
  that  
  
  the Appropriate Commission may, in case of shortage of supply of electricity,
  
  fix the minimum and maximum ceiling of tariff for sale or purchase of
  
  electricity in pursuance of an agreement, entered into between a generating
  
  company and a licensee or between licensees, for a period not exceeding one
  
  year to ensure reasonable prices of electricity;
  a.    
  b.     transmission of
  
  electricity;
  c.      wheeling of
  
  electricity;
  d.     retail sale of
  
  electricity:
  Provided
  
  that  
  
  in case of distribution of electricity in the same area by two or more
  
  distribution licensees, the Appropriate Commission may, for the promoting
  
  competition among distribution licensees, fix only maximum ceiling of tariff
  
  for retail sale of electricity.
  1.     
  
  
  2.     
  
    The
  
  Appropriate Commission may require a licensee or a generating company to
  
  furnish separate details, as may be specified in respect of generation,
  
  transmission and distribution for determination of tariff.
  3.     
  
    The
  
  Appropriate Commission shall not, while determining the tariff under this Act,
  
  show undue preference to any consumer of electricity but may differentiate
  
  according to the consumer's load factor, power factor, voltage, total
  
  consumption of electricity during any specified period or the time at which the
  
  supply is required or the geographical position of any area, the nature of
  
  supply and the purpose for which the supply is required.
  4.     
  
    No
  
  tariff or part of any tariff may ordinarily be amended, more frequently than
  
  once in any financial year, except in respect of any changes expressly
  
  permitted under the terms of any fuel surcharge formula as may be specified.
  5.     
  
    The
  
  Commission may require a licensee or a generating company to comply with such
  
  procedure as may be specified for calculating the expected revenues from the
  
  tariff and charges which he or it is permitted to recover.
  6.     
  
    If
  
  any licensee or a generating company recovers a price or charge exceeding the
  
  tariff determined under this section, the excess amount shall be recoverable by
  
  the person who has paid such price or charge along with interest equivalent to
  
  the bank rate without prejudice to any other liability incurred by the
  
  licensee.