SOH AH POH v TENAGA NASIONAL BERHAD

Case Significance

Confirms that liability for electricity charges follows the registered consumer until the supply-account registration is formally terminated, regardless of actual use, so a consumer who stops operating premises without cancelling the account remains liable for the arrears.

This High Court decision at Shah Alam concerns an appeal against a Sessions Court judgment holding a registered electricity consumer liable for arrears of electricity charges. The respondent utility, Tenaga Nasional Berhad, had sued the appellant, who held the electricity supply account under a registered business name, in the Sessions Court and recovered arrears of RM436,789.36 together with interest and costs; the appellant appealed. The court reviewed the record, the written submissions and the oral arguments and considered whether the Sessions Court judge had misdirected herself. It held that she had not, and that her findings were reasonable, supported by the evidence and based on the correct legal principles, so there was no basis for appellate interference; to substitute the appellate court's own view would offend the principles governing appellate intervention reflected in authorities such as Gan Yook Chin and Dream Property Sdn Bhd v Atlas Housing Sdn Bhd. On the substance, the court found that the dispute stemmed from the appellant's failure to take the proper step of cancelling the registration of the electricity supply account in his name once he no longer operated the premises. It reasoned that in the context of a public utility supply, a consumer's responsibility is founded on his status as the registered consumer rather than on his actual knowledge or actual use of the supply, so that until the registration is formally terminated the registered consumer remains liable for the charges incurred. The court dismissed the appeal, affirmed the Sessions Court's decision to allow the utility's claim of RM436,789.36 with interest, and fixed costs of the appeal at RM5,000, observing that the case should serve as a reminder to consumers to keep their utility-account status up to date. The judgment is a useful statement that liability for utility charges follows the registered consumer until the account registration is formally terminated.