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The appointment of the DERC chairwoman, usually a formality, has become embroiled in the ongoing conflict between the city’s major political factions.This prolonged conflict escalated after the Centre passed an ordinance on May 19 that nullified a Supreme Court ruling from May 11 that gave the elected government of the state control of the bureaucratic machinery in all departments, with the exception of those pertaining to land, public order, and police.

On June 21st, the Delhi government officially proposed Sangeet Lodha, a retired judge, for the role. The Aam Aadmi Party (AAP) government condemned the “illegal and unconstitutional” appointment of Kumar to the seat by the Centre later that day.Electricity, the party argued, properly belongs under state control, and the “aid and advice of the elected administration” must be followed.

On July 4, the apex court ruled that the Delhi government could delay giving Kumar his oath of office.

The appointment order was issued on June 21 under Section 45D of the Government of National Capital Territory of Delhi (GNCTD) Ordinance, 2023, which the bench agreed to review on the same day. The Centre, through the LG, has final say over who serves on all commissions, bodies, and authorities in the Capital Region under Section 45D of the legislation.

The Supreme Court called CM and LG to the stand at Monday’s case hearing and said, “We want to know if it is possible to break this impasse. Why can’t the LG and the CM, as two constitutional officers, meet and agree on a single candidate to run for DERC? Either you cooperate with the established systems or you don’t. They need to put aside their differences and work together.Senior counsel Abhishek Manu Singhvi, speaking for the Delhi government, first argued that it is unrealistic to expect the two officials to agree on a single name.
“But I don’t have a problem if they can miraculously agree,” he continued.

Replying to the court’s request, LG’s lead attorney Harish Salve said his client agreed that the two constitutional functionaries should get down together to work out the dispute.

It’s a shame the Delhi government’s counsel has already given up. We should immediately say “yes” and “we will do it,” as Salve put it.

The bench, presided over by India’s Chief Justice Dhananjaya Y. Chandrachud, also considered whether to refer the Delhi government’s separate appeal to the ordinance to a five-judge constitution bench.

DERC was established in 1999 to regulate the distribution and pricing of electricity in the nation’s capital. The position has been open since (ret.) Justice Shabihul Husnain resigned on January 10 due to retirement. There is now only one person serving on the panel of three.

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