Tribunal partly stays tariff order on Tata Power, Adani PowerIn a partial relief for five states’ power procurers, the Appellate Tribunal for Electricity said they need not pay for now the retrospectively hiked tariff of 8.3 bln rupees to Adani Power Ltd and 3.3 bln rupees to Tata Power Ltd for electricity purchased from their ultra mega power plants in Mundra, Gujarat. The tribunal, however, said the power procurers of Rajasthan, Punjab, Maharashtra, Gujarat and Haryana will have to pay their dues for supplies after March at the Central Electricity Regulatory Commission-hiked rates, which included a compensatory tariff for higher coal import cost.

On pleas by Tata Power and Adani Power, the power regulator had hiked the tariff for electricity purchased from their Mundra ultra mega power plants by 52 paise and 55 paise, respectively. The hike was “compensatory tariff” for escalated cost of imported coal.

The tribunal said Monday’s order was interim in nature and was passed on view that power plants of such capacity should not shut down due to financial burden. While granting relief to state power procurers to not pay retrospective amounts, the tribunal allowed the states to pay the dues for Mar-Jun in six monthly instalments.                    -Cogencis

(To receive our E-paper on whatsapp daily, please click here. We permit sharing of the paper's PDF on WhatsApp and other social media platforms.)

Free Press Journal