Gujarat Urja Vikas Nigam Limited vs Tata Power Company Limited & Anr

Headnote AI-drafted · Editorially reviewed

These consolidated appeals before the Appellate Tribunal for Electricity arise out of orders passed by the Central Electricity Regulatory Commission (CERC). The appellants — Gujarat Urja Vikas Nigam Limited, Uttar Haryana Bijli Vitran Nigam Limited, Dakshin Haryana Bijli Vitran Nigam Limited, and Punjab State Power Corporation Limited — are distribution licensees and procurers of electricity who challenged orders of the CERC relating to Tata Power Company Limited (formerly Coastal Gujarat Power Limited), a generating company operating the ultra-mega power project at Mundra, Gujarat.

The appeals raise interconnected questions concerning the regulatory framework governing long-term power purchase agreements, tariff determination, and the obligations inter se between the generating company and the procuring distribution utilities. The disputes involve issues of change in law, compensatory tariff, and the allocation of financial burden arising from changes in fuel costs and regulatory developments impacting the Mundra Ultra Mega Power Project.

The Tribunal, comprising its Chairperson and Technical Member (Electricity), heard all three appeals together given their common factual matrix and legal issues, and proceeded to adjudicate upon the reliefs claimed by the respective appellants against Tata Power Company Limited and the other respondents, including the Central Electricity Regulatory Commission.

Catchwords: electricity law appellate tribunal for electricity CERC power purchase agreement tariff determination ultra mega power project Mundra power project Tata Power Coastal Gujarat Power Limited distribution licensee change in law compensatory tariff long-term procurement regulatory commission electricity regulation