Tamil Nadu Electricity Regulatory Commission rejects plea of two Adani group firms

Tamil Nadu Electricity Regulatory Commission (TNERC) has rejected the pleas filed by two Adani group firms as a miscellaneous petition, and has asked the companies to file the pleas as a Dispute Resolution Petition.

Kamuthi Solar Power Ltd, which had set up a 216 MW solar PV plant and Ramnad Renewable Energy Ltd, which had set up 72 MW plant in Ramnad filed the pleas through two separate petitions.

Both the firms are part of the Adani group, and have stated that the cyclone in Tamil Nadu and unprecedented rainfall recorded in Ramanthapuram district in 2015 have affected the construction of the plant.

The companies claimed that the 216 MW plant was commissioned by March 15, 2016 and the 72 MW plant was commissioned by March 22, 2016. However, they said the TANGEDCO did not provide the sub-station for evacuation of power.

As a result, the projects got delayed beyond March 31, 2016 and the firm could not avail the Rs. 7.01 a unit solar tariff, which was available only for plants commissioned before March 31, 2016.

The firms also mentioned that they had invested over Rs. 1356.20 crore on the 216 MW plant and Rs. 452.08 crore on the 72 MW plant with the expectation of Rs. 7.01 per unit.

The PPA was signed only after the TNERC extended the ‘control period’ for Rs. 7.01 per unit tariff from September 11, 2015 to March 31, 2016.

The petitioners’ plants were ready for commissioning by March 15, 2016. However, TANGEDCO failed to commission the 400 KV substation at Kamuthi and it was evident to the petitioner at that point that the project would likely be delayed beyond the March 31 deadline.

The firms also wanted TNERC to grant a project-specific extension of the ‘control period’ from March 31, 2016 to the date of inter-connection to the grid and declare that the projects were commissioned before the deadline.

Source: TheHindu