By LE Desk
New Delhi, March 1: The Supreme Court has ordered status quo in the plea filed by Maharashtra State Electricity Distribution Company (MSEDL) against the Appellate Tribunal for Electricity’s decision to grant compensation to Adani Power.
The State-owned power distribution company MSEDCL had contracted purchase of electricity from Adani Power’s 3300 MW Tiroda Power Plant operated by Adani Power Maharashtra. The electricity from the power plant was to be supplied under four Power Purchase Agreements.
The tariff was on fixed basis with no compensation over and above the quoted tariff as the supply of electricity was in accordance with Section 63 of the Electricity Act 2003. The tariff is evaluated based on the parameters and the source of fuel as indicated by the bidder. The tariff would be firm for the entire term of the power plan PPA.
Notwithstanding the above, APML sought compensation under ‘Change in Law’ and the same was allowed by the state regulator Maharashtra Electricity Regulatory Commission and the Appellate Tribunal for Electricity, the BusinessLine reported.
MSEDCL approached the Supreme Court challenging the APTEL order in favour of APML. The apex court took up the matter for hearing last Friday and ordered to maintain the status quo, besides issuing notice to APML.
The status quo order means that the APML can retain the compensation paid.