The overarching legislative framework relating to the
electricity sector in India is provided by the Electricity Act,
2003, which governs the generation, transmission, distribution and
trading of electricity, including the tariff for sale of
electricity.
The institutional framework under the Electricity Act, 2003,
comprises electricity regulatory commissions at the central and
state levels, with appeal provision provided to an Appellate
Tribunal for Electricity (APTEL) which has been created under the
Electricity Act, and from APTEL appeal to the Supreme Court of
India.
In 2019 the Supreme Court clarified that it would not interfere
with the decisions of APTEL, or with those of any of the regulatory
commissions established under the Electricity Act, unless a
specific question of law is presented. It further clarified that it
would not interfere with issues such as elements of tariff
determination that do not involve questions of law.