K - ELECTRIC LIMITED versus FEDERATION OF PAKISTAN
Article 34 Constitution of Pakistan, Arts 153 and 154 Specific Relief Act (I of 1877), Articles 42 and 54 Arbitration Dispute between the parties Despite the arbitration agreement, the dispute to be filed by the plaintiff directly and primarily in a constitutional matter Raising such dispute is not appropriate for mediators. During the arbitration agreement between Electric Supply Company (Company) and National Transmission and Despatch Company Limited (NTDC) the suit should continue despite the Power Purchase Agreement (s). According to the terms of the agreement, the company was entitled to dig up to 650 MW from the national grid. Then, under the decision of the Commonwealth Council, 350 MW of power was withdrawn from the company and NTDC increased the deal to 300 MW. Denied excess power supply, the company sued for a declaration and injunction saying it deserved to be pulled. From the National Grid to the 650 MW NTDC, the current petition under section 34 of the Arbitration Act, 1940, contained a clear dispute between the parties and according to the agreement a dispute had to be sent for mediation and the issue remained intact. There was a dispute between the parties that directly challenged the Commonwealth Council's decision in their case. In this case, noting that the Council's decision was controversial without jurisdiction and without the Constitution, if such a matter went to the arbitrators, they would have to decide on the constitutional justification of what the Commonwealth Council did. One that was appropriate for the arbitrators and should be considered beyond their jurisdiction The current dispute cannot be referred to arbitration.
Related judgments — Karachi High Court Sindh, 2014
