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Appellate Tribunal For Electricity

Maharashtra State Electricity ... vs Adani Power Maharashtra Ltd. & Ors. Rpd & ... on 11 May, 2016

                                                                                     1


                                       COURT-I
                       In the Appellate Tribunal for Electricity
                               (Appellate Jurisdiction)

                          Appeal No.166 of 2014 &
                            IA No. 275 of 2014
Dated :      11th May, 2016.

Present:     Hon'ble Mrs. Justice Ranjana P. Desai, Chairperson
             Hon'ble Mr. T. Munikrishnaiah, Technical Member
             Hon'ble Mr. I.J. Kapoor, Technical Member
In the matter of:-

Maharashtra State Electricity Distribution Co. Ltd.                 -Appellant(s)
                  Vs.
Adani Power Maharashtra Ltd. & Ors.                                 -Respondent(s)

Counsel for the Appellant(s)     :      Mr. Kiran Gandhi
                                        Ms. Ramni Taneja
                                        Mr. Udit Gupta

Counsel for the Respondent(s)    :      Mr. Amit Kapur
                                        Ms. Poonam Verma
                                        Mr. Gaurav Dudeja
                                        Mr. Akshat Jain for Adani
                                        Mr. Malav Deliwala (Rep.)

                                        Mr. Buddy A. Ranganadhan
                                        Mr. Raghu Vamsy for MERC

                                     ALONG WITH
                Appeal No. 218 of 2014 & IA-337of 2014
In the matter of:-

Prayas Energy Group                                                 -Appellant(s)
           Vs.
Maharashtra Electricity Regulatory Commission & Ors.                -Respondent(s)

Counsel for the Appellant(s)     :      Mr. M.G. Ramachandran
                                        Ms. Ranjitha Ramachandran
                                        Ms. Anushree Bardhan
                                                                                 2


                                      Mr. Shubham Arya
                                      Mr. Kumar Mihir
                                      Mr. Avinesh Menon
                                      Ms. Poorva Saigal

Counsel for the Respondent(s)   :    Mr. Kiran Gandhi
                                     Ms. Ramni Taneja
                                     Mr. Udit Gupta for MSEDCL

                                     Mr. Amit Kapur
                                     Ms. Poonam Verma
                                     Mr. Gaurav Dudeja
                                     Mr. Akshat Jain for Adani

                                     Mr. Buddy A. Ranganadhan
                                     Mr. Raghu Vamsy for R.1


                                    ORDER

Appeal No.166 of 2014 is filed by Maharashtra State Electricity Distribution Co. Ltd. Appeal No.218 of 2014 is filed by Prayas. Both these appeals are directed against impugned Order dated 5/5/2014 in suo motu proceedings being Case No.63 of 2014 passed by the Maharashtra Commission, whereby the Maharashtra Commission has granted compensatory tariff of Rs.1.01 per unit to Adani Power Maharashtra over and above the tariff fixed under Section 63 of the said Act.

In our Judgment dated 7/4/2016 in Appeal No.100 of 2013 and batch matters, we have held that the Appropriate Commission has no regulatory power to grant compensatory tariff to the generating companies where the tariff is discovered by a competitive bidding process under Section 63 of the said Act. We have also held that if a case of Force Majeure or Change in Law is made out, relief available under the PPA can be granted under the adjudicatory power of the Appropriate Commission.

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While Section 79 refers to powers of Central Commission, Section 86 refers to powers of the State Commission. The powers conferred to the Appropriate Commissions under these Sections are almost similar. Therefore, the ratio of our Judgment dated 7/4/2016 in Appeal No.100 of 2013 and batch matters is squarely applicable to this case also.

Pertinently, today, we have set aside Interim Order dated 21/8/2013 passed by the Maharashtra Commission granting interim compensatory relief to Adani Power Maharashtra in Case No.68 of 2012 except to the extent it holds that the plea of Adani Power Maharashtra that the withdrawal of the Terms of Reference, which led to the inaccessibility of the coal block by Adani Power Maharashtra and the subsequent de-allocation of the said block was not a Force Majeure event as per the terms of the PPA. We have also made clear in that order that we have not expressed any opinion on the aspect of Force Majeure. It is important to note that this suo motu proceeding being Case No.63 of 2014 is initiated by the Maharashtra Commission on the Report of the Committee constituted by it in Case No.68 of 2012.

In the circumstances, in view of judgment dated 7/4/2016 referred to hereinabove, the Appeals are allowed. Impugned Final Order dated 5/5/2014 passed by the Maharashtra Commission in Case No.63 of 2014 is set aside. Accordingly, all connected IAs are also disposed of.

I.J. Kapoor T. Munikrishnaiah Justice Ranjana P. Desai [Technical Member] [Technical Member] [Chairperson]