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J. B. PARDIWALA, K. V. VISWANATHAN
Tamil Nadu Generation And Distribution Corporation Ltd. – Appellant
Versus
Penna Electricity Limited – Respondent
| Table of Content |
|---|
| 1. overview of the case and findings by aptel. (Para 1 , 2) |
| 2. appellant's arguments regarding cod and infirm power. (Para 3 , 9) |
| 3. findings of tnerc on ppa alignment with regulations. (Para 4 , 5) |
| 4. aptel's findings on the legal status of ppa. (Para 7 , 8) |
| 5. discussion on legal principles governing the tariff regulations. (Para 11 , 12 , 29) |
| 6. analysis of power categorization as firm/infirm. (Para 30 , 34) |
| 7. conclusion of the court on the appeal. (Para 37 , 38) |
JUDGMENT :
1. The present appeal calls in question the correctness of the judgment and order dated 10.07.2013 passed by the Appellate Tribunal for Electricity (for short ‘APTEL’) in Appeal No.112 of 2012.
3. Aggrieved, the appellant is in appeal. The principal argument is that any sale of electricity prior to “COD” would be infirm power and would entail the supplier only to variable charges i.e., the cost of the fuel. To support this, the appellant relies on the clause in the Power Purchase Agreement (for short ‘PPA’) originally entered on 29.04.1998 and undisputedly amended on 25.08.2004. According to the appellant, under the PPA, as amended, date of commercial operation was the day on which the project achiev
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