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2024 Supreme(SC) 703

PAMIDIGHANTAM SRI NARASIMHA, PANKAJ MITHAL
Bangalore Electricity Supply Company Limited – Appellant
Versus
Hirehalli Solar Power Project LLP – Respondent


Advocates appeared:
For the Appellant(s) : Mr. K.M. Nataraj, ASG Mr. Vinayak Sharma, Adv. Mr. Sharath Nambiar, Adv. Mr. Vatsal Joshi, Adv. Mr. Chitransh Sharma, Adv. Mr. Anuj Udupa, Adv. Ms. Indira Bhakar, Adv. Mr. Aaysh Suklani, Adv. Mr. Shubham Mishra, Adv. Ms. Garima Jain , AOR Mr. Yasobant Das, Sr. Adv. Mr. Arunav Patnaik, Adv. Ms. Bhabna Das, AOR
For the Respondent(s): Mr. Basava Prabhu Patil, Sr. Adv. Ms. Prerna Priyadarshini, AOR Mr. Syed Faraz Alam, Adv. Mr. Atharva Gaur, Adv. Mr. Aayushman Aggarwal, Adv. Mr. Prateek K. Chadha, A.A.G. Mr. Ujjal Banerjee, AOR Mr. V. N. Raghupathy, AOR Mr. Sreekar Aechuri, Adv.

JUDGMENT

PAMIDIGHANTAM SRI NARASIMHA, J.

Facts

KERC’s order

APTEL’s impugned order

Submissions

Scope of Supreme Court’s appellate jurisdiction under Section 125 of the Act

Analysis on merits

Clauses of the Power Purchase Agreement (PPA)

Re: Applicability of the force majeure clause:

Conclusion

1. The short issue arising from these appeals is whether the extension of the Scheduled Commissioning Date [Hereinafter “SCD”] was occasioned under the force majeure clause of the Power Purchase Agreement [Hereinafter “PPA”], and consequently, whether the reduction in tariff payable to the respondents is justified. While upholding the decision of the Appellate Tribunal for Electricity [Hereinafter “APTEL”] we have examined the scope and ambit of our appellate jurisdiction under Section 125 of the Electricity Act, 2003 [Hereinafter “the Act”]. We have held that the restrictive scope of appellate jurisdiction is a product not only of the statutory preconditions, but also a necessary measure to enable freedom to statutory regulator and Tribunal to develop sectorial laws through a principled and consistent approach.

2. Facts: Since the facts and the PPAs are similar in all three appeals, we will deal with th

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