The companies said if the rates were not applicable, they would suffer huge losses
The Tamil Nadu Electricity Regulatory Commission (TNERC) has rejected pleas by companies from the Adani Group for the grant of a specific extension for their solar projects, to avail a tariff of ₹7.01 per unit from Tangedco.
In separate petitions, Ramnad Renewable Energy Ltd and Kamuthi Solar Power Ltd, arms of Adani Green Energy (Tamil Nadu) Limited, said they had entered into a power purchase agreement with Tangedco for the supply of 72 MW and 216 MW solar power respectively, on July 4, 2015.
In its tariff order, the TNERC had fixed a tariff of ₹7.01 per unit on September 12, 2014, and had extended the applicability of the tariff till March 31, 2016.
The two firms had to complete their projects by March 31, 2016, to be eligible for the tariff of ₹7.01 per unit.
However, the projects were commissioned only in September 2016, and Tangedco said it would offer a lower tariff of ₹5.10 per unit, applicable from April 1, 2016.
The firms said the projects were ready from their end well before March 31, 2016, and said Tangedco failed to provide the required infrastructural facilities for evacuation of power, which delayed the commissioning. They sought an extension till September 2016, with an applicable tariff of ₹7.01 per unit.
The firms said they had invested around ₹1,524 crore on the project and had availed funding from banks and financial institutions.
The entire financial planning and projection with regard to the project was based on the tariff rate of ₹7.01 per unit, and if it was not applicable, the firms said they would suffer huge losses.
TNERC chairman M. Chandrasekar ruled that Tangedco had been clear in its communications to the firms regarding the availability of infrastructure. Mr. Chandrasekar added that he did not find any mistake on the part of Tangedco and rejected the pleas.
He also upheld the decision by Tangedco to offer a tariff of ₹5.10 per unit.
Source: Read Full Article