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AP High Court stays solar power project amid violations of law

by Staff
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Tata Power Renewable Energy Limited (TRPEL) filed a writ petition No. WP 674/2021 on January 6th, 2021 wherein it appealed to the High Court to quash Requests for Selection (RfS) as well as draft Power Purchase Agreements (PPA) in the solar power project. The RfS and draft PPAs were issued by the Andhra Pradesh Green Energy Corporation Limited (APGECL). 

The appeal stated that the RfS and draft PPAs were not in line with the provisions and guidelines of the Electricity Act, 2003 for tariff-based competitive bidding. It cited a clause in the draft PPA that sought to oust the Andhra Pradesh Electricity Regulatory Commission’s statutory powers and jurisdiction. It also noted that APGECL deviated from competitive Solar bidding guidelines without getting the Commission’s approval. 

TRPEL in the petition noted that the APGECL is not authorized to issue RfS and PPAs since it is not a generator or licensee. The law firm representing Tata Renewable Power said that although the RfS claims to adhere to the guidelines of the Electricity Act, it has “materially” departed from it on various issues. TRPEL has also appealed to the Court to direct the APGECL to issue fresh RfS’ that are “strictly in accordance with the tariff-based competitive bidding process for procurement of power” in the 6.4GW solar power project planned in Andhra Pradesh. 

The High Court of Andhra Pradesh upheld TRPELs appeal that the APGECL was in gross violation of the law. On January 8th, 2021, the High Court stayed the project until the next hearing which is scheduled on February 15th 2021. The Andhra Pradesh government was keen to project the solar park as a recovery from its past issues with power generators. However, it is certain that the YSRCP government is not able to resolve older disputes and is creating newer conflicts. 

You can read more about the topic at: https://aptruth.in/tata-power-challenges-andhra-pradeshs-6-4-gw-solar-project/

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