CENTRAL ELECTRICITY REGULATORY COMMISSION NEW DELHI Petition No. 137/MP/2023 Coram:

Shri Jishnu Barua, Chairperson Shri Ramesh Babu V., Member Shri Harish Dudani, Member Date of Order: 23th February, 2026 In the matter of Petition under Section 79 and Section 11(2) of the Electricity Act, 2003 read with Regulation 111-113 of the Central Electricity Regulatory Commission (Conduct of Business) Regulations, 1999 seeking recovery of energy charges for the power procured in the month of December, 2022, in terms of the directions issued by the Ministry of Power, Government of India under Section

11 of the Electricity Act, 2003.

And In the matter of IL&FS Tamil Nadu Power Co. Ltd.

4th Floor, KPR Tower, Old No. 21, New No. 2 1st Street, Subba Rao Avenue, College Road, Chennai- 600006 …Petitioner Vs.

1. Tamil Nadu Generation and distribution Co. Ltd.

6th Floor, Eastern Wing, 144, Anna Salai, Chennai- 600002. …Respondent No. 1

2. Union of India, Ministry of Power Shram Shakti Bhawan Rafi Marg, New Delhi – 110001 …Respondent No. 2 The following were present:

Shri Hemant Singh, Advocate, CEPL & ILFS Shri Lakshyajit Singh Bagdwal, Advocate, CEPL & ILFS Shri Harshit Singh, Advocate, CEPL & ILFS Ms. Lavanya Panwar, Advocate, CEPL & ILFS Shri Chetan Garg, Advocate, CEPL & ILFS Shri Syed Fazl, Advocate, CEPL & ILFS Ms. Ankita Bafna, Advocate, CEPL & ILFS Shri Gyanedra Singh, Advocate, ILFS Shri Pawan Singh, Advocate, ILFS Shri Jay Lal, Advocate, ILFS Shri Ramesh Kumar, Advocate, CEPL Shri Rohit Raj, Advocate, CEPL Shri Shailendra Singh, Advocate, CEPL Ms. Anusha Nagarajan, Advocate, TANGEDCO Shri Rahul Ranjan, Advocate, TANGEDCO

ORDER

On 5.5.2022, the Central Government through Ministry of Power (hereinafter referred to as “Respondent No. 2 or MoP”) issued directions under Section 11(1) of the Electricity Act, 2003 (hereinafter referred to as “the Act”) to all imported coal-based generating stations to generate and supply electricity to address the extraordinary power crisis arisen due to the impact of high international coal prices. The Central Government, through the committee constituted under the directions, issued the benchmark tariff for payment purposes. The Ministry of Power, through successive directions after 5.5.2022, issued clarifications, modifications, benchmark tariffs and extensions of validity on a continuous basis (collectively referred to as “directions”). On 28.9.2022, the Respondent No.2 extended the validity of its earlier directions dated 5.5.2022 (which were originally applicable until

31.10.2022) till 31.12.2022.

2. The IL&FS Tamil Nadu Power Company Ltd. (hereinafter referred to as “Petitioner”) entered into a Long-Term Power Purchase Agreement dated

12.12.2013 (“PPA”) with Tamil Nadu Generation and Distribution Co. Ltd. (hereinafter referred to as “Respondent No.1”), for the supply of 540 MW of power for 15 years, based on imported coal. The Respondent No.1 purchased the power from the Petitioner as per the terms of the directions issued by the Respondent No.2.

3. The Petitioner has supplied power as per the terms of the directions from its effective date. However, about 6 months later, the dispute arose when the Respondent No.1 issued letters to the Petitioner on 23.11.2022 and 30.11.2022, insisting on supplying power as per the tariff provided under the PPA rather than the benchmark tariff notified by the Ministry of Power. Subsequent to the receipt of the aforesaid letters, the Petitioner vide letters dated 24.11.2022 and 1.12.2022 clarified its intention to continuously abide by the Section 11 directions issued by the Respondent No.2, including the payment of Energy Charge Rate (“ECR”) notified by the committee constituted under said directions.

4. Previously, the Petitioner filed Petition No. 350/MP/2022 before this Commission to seek directions against the Respondent No.1. In the said Petition, the Commission vide its order dated 23.12.2022, has directed to comply with the directions issued by the Respondent No.2 under Sect