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PAMIDIGHANTAM SRI NARASIMHA, ATUL S. CHANDURKAR
Southern Power Distribution Company Of Andhra Pradesh Limited – Appellant
Versus
Green Infra Wind Solutions Limited – Respondent
Key Points: - Regulatory Commissions possess exclusive power to determine tariffs, which must consider Generation Based Incentives (GBI) to promote renewable energy, reflecting collaborative governance [judgement_subject]. - SERCs have exclusive authority to determine tariffs and must consider GBI as it promotes renewable energy, balancing consumer interests with energy security and environmental concerns [judgement_act_referred]. - The independence of SERCs in tariff determination does not negate the need to consider incentives that align with statutory policies during tariff fixation [judgement_act_referred]. - Regulatory Commissions must collaboratively work with other authorities and adhere to national policy goals, ensuring a balanced approach to renewable energy [judgement_act_referred]. - The Ministry of New and Renewable Energy (MNRE) introduced the Generation Based Incentive (GBI) to promote investment in renewable energy by providing financial incentives to generating companies [Facts of the case]. - The SERC holds the authority to include GBI in tariff settings, provided it aligns with statutory frameworks and policy goals [Findings of Court]. - The key issues revolved around the powers of SERCs to factor in GBI while setting tariffs and the responsibilities of regulatory bodies in electricity policy [Issues]. - The SERC cannot exclude consideration of government incentives when determining tariffs and must strive to uphold the policy intentions behind incentive schemes while ensuring energy security [Ratio Decidendi]. - Civil Appeal was dismissed, affirming the regulatory power of the SERC [Result]. - Tariff determination is the exclusive province of the Regulatory Commissions, and this power is not denuded by the existence of a Union grant (!) (!) . - Regulatory power must be exercised as a collaborative enterprise, not ignoring the purpose and object of a policy or grant by other stakeholders (!) . - The GBI is intended to be disbursed to the GENCOs over and above the tariff (!) .
| Table of Content |
|---|
| 1. statutory power of serc in tariff determination (Para 1 , 2) |
| 2. formation and objectives of mnre and gbi (Para 3 , 4 , 5 , 6 , 7) |
| 3. aperc's tariff regulations of 2015 (Para 8 , 9) |
| 4. notification of tariff orders by aperc (Para 10 , 11) |
| 5. aperc's power regarding gbi consideration (Para 12) |
| 6. aptel's view on aperc's tariff alteration (Para 13) |
| 7. regulatory commissions' jurisdiction in tariff (Para 20 , 22) |
| 8. duties of regulatory commissions in tariff determination (Para 29 , 30 , 32) |
| 9. regulatory power must align with policy intent (Para 43 , 44 , 46) |
| 10. court's dismissal of the civil appeal (Para 47 , 48) |
JUDGMENT :
| Contents | |
| I. | Introduction |
| II. | Facts |
| III. | APERC’s Tariff Regulations of 2015 |
| IV. | Tariff Orders |
| V. | Order of the APERC |
| VI. | Judgment of the APTEL |
| VII. | Issues |
| VIII. | Re: Issue: i) Scope and ambit of the Electricity Regulatory Commission’s power and jurisdiction to determine tariff |
| IX. | Re: Issue: ii) Given the power and exclusive jurisdiction to determine tariff, what are the duties and obligations of the Electricity Regulatory Commission while determining tarif |
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