IN THE APPELLATE TRIBUNAL FOR ELECTRICITY (Appellate Jurisdiction)

APPEAL No. 211 OF 2021 Dated: 19.12.2024 Present: Hon’ble Mr. Sandesh Kumar Sharma, Technical Member Hon’ble Mr. Virender Bhat, Judicial Member IN THE MATTER OF:

AMR POWER PRIVATE LIMITED Suit No. 701-702 Prestige Meridian – 2, No. 30 M.G. Road, Bangalore – 560 001 … Appellant VERSUS

1. Mangalore Electricity Supply Company

1^st Floor, Paradigm Plaza, A.B. Shetty Circle, Mangalore- 575 001

2. Karnataka Electricity Regulatory Commission No.16, C-1 Millers Tank Bed Area, Vasanth Nagar, Bangaluru – 560 052 …Respondents Counsel for the Appellant(s) : Mr. Basava P. Patil, Sr. Adv.

Mr. Rohit Sharma Mr. Rounak Nayak Mr. Biju Mattam Mr. Arju Chaudhary Mr. Aditya Narayan Ms. Lalia Elizabeth Philip Mr. Saakshya Ms. Prerna Prakash Counsel for the Respondent(s) : Mr. Shahbaaz Husain Mr. V.M. Kannan Ms. Stephania Pinto Mr. Fahad Khan Mr. Harimohana. N Mr. K. Sumanth Gowda Mr. Dalima Gupta Mr. Shahbaz Hussain Ms. Sanjana Reddy Mr. Yashwanth for R-1 Ms. Shwetha Ravishankar Mr. Manjunatha S.

Ms. Jyothi Lakshmi for R-2

JUDGEMENT

PER HON’BLE MR. SANDESH KUMAR SHARMA, TECHNICAL MEMBER

1. The instant Appeal has been filed by the Appellant i.e., AMR Power Private Limited (in short “Appellant”) against the order dated 23.03.2021 (in short “Impugned Order”) passed by the Karnataka Electricity Regulatory Commission (in short “State Commission” or “KERC”) in Petition OP No.192/2017 passed under Section 86 (1) (f) read with Section 129 of the Electricity Act, 2003.

Description of the parties

2. The Appellant/ AMR Power Private Limited is a Generating Company with a Mini Hydel Power Project of 24.75 MW capacity built across the Netravathi River, Perla Village, Bantwal Taluk, Kashina Kannada District.

3. Respondent No. 1, Mangalore Electricity Supply Company (in short “MESCOM” or “R1”), is the designated electricity distribution company with jurisdiction over the Dakshina Kannada district.

4. Respondent No. 2 is the Karnataka Electricity Regulatory Commission, which was constituted under the Karnataka Electricity Reforms Act of 1999. Following the enactment of the Electricity Act of 2003, KERC was recognized as the State Commission for the purposes of the Act.

Factual Matrix of the Case

5. The Appellant and the Respondent No. 1, Mangalore Electricity Supply Company, entered into a Power Purchase Agreement (in short “PPA”) dated 02.08.2006 for the sale and purchase of the energy at the tariff of INR 2.80 per unit as per the Generic Tariff Order dated 18.01.2005.

6. The Appellant initiated proceedings under OP No. 28/2009 before the KERC, seeking a declaration that the PPA dated 02.08.2006 had become void due to circumstances beyond the Appellant's control. The Appellant also requested the Commission to direct the State Load Dispatch Centre (in short SLDC”) to grant Open Access or to order MESCOM to compensate at a rate of INR 5.00 per unit for the energy supplied to Respondent No. 1 during the case's pendency.

7. The State Commission dismissed the Petition through an order dated 23.12.2011. The Appellant subsequently filed a review petition challenging this order. During the review petition's pendency, on 22.07.2011, the Appellant terminated the PPA due to defaults committed by Respondent No. 1, after adhering to the termination procedures outlined in the PPA.

8. Subsequently, the Commission upheld this termination by its order dated 14.08.2013 in OP No.37/2012, thereafter, this Tribunal vide judgment dated

17.10.2014 in Appeal No. 275/2013 upheld the said order.

9. The judgment of this Tribunal was ultimately affirmed by the Hon'ble Supreme Court in its judgment dated 15.09.2016 in CA No. 1665/2015. As a result, the termination of the PPA effective from 22.07.2011 became final and binding on all parties involved.

10. Consequently, the Appellant became entitled to damages for the period from 22.07.2011 to 16.10.2014 from the R1 at the prevalent market price for energy supplied to the R1 during that period under