OMP(I)(COMM) 429/2019 Page 1 of 38

IN THE HIGH COURT OF DELHI AT NEW DELHI

Judgment delivered on: March 16, 2020

+

O.M.P.(I) (COMM.) 429/2019

HERO WIND ENERGY PRIVATE LIMITED

..... Petitioner

Through:

Mr.Rajiv Nayar, Sr. Adv. with

Mr.Sanjeev Sharma, Ms.Mumtaz

Bhalla, Mr.Anirudh Gandhi and

Mr.Sourabh Malhotra, Advs.

versus

INOX RENEWABLES LIMITED & ANR.

..... Respondents

Through:

Mr.Sandeep Sethi, Sr. Adv. with

Mr.Sudhir Kumar, Mr.Pulkit

Srivastava and Ms.Ashna Abrol,

Advs. for respondents

CORAM:

HON'BLE MR. JUSTICE V. KAMESWAR RAO

J U D G M E N T

V. KAMESWAR RAO, J

1.

This petition under Section 9 of the Arbitration and

Conciliation Act, 1996 (‘Act’, for short) has been filed with the

following prayers:

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circumstances of the present case and in the interest of justice.”

2.

The petitioner herein is a company incorporated under the

provisions of the Companies Act, 1956, having its registered

office at 201, Third Floor, Okhla Industrial Estate, Phase-III,

New Delhi, Pin-110020. The petitioner is involved in the

business of generation of renewable energy inter-alia through

development, implementation, operation and maintenance of non-

conventional wind power projects.

3.

Respondent No.1, Inox Renewables Limited (‘IRL’), is a

company, incorporated under the provisions of the Companies

Act, 1956, having its registered office at Survey No.1837 & 1834

at Moje Jetalpur, ABS Towers, Second Floor, Old Padra Road,

Vadodara, Gujarat, PIN-390007. Respondent No.1 is engaged in

the business of land acquisition, regulatory management, project

EPC, operation & maintenance etc.

4.

Respondent No.2, Inox Wind Limited (‘IWL’), is a

company incorporated under the provisions of the Companies

Act, 1956, having its registered office at Plot No.1, Khasra

Nos.264 to 267, Industrial Area Village Basal Una, Himachal

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OMP(I)(COMM) 429/2019 Page 3 of 38

Pradesh, PIN-174303. Respondent No.2 is engaged in the

business of manufacturing, assembling and delivering equipment,

including, Wind Turbine Generators (‘WTGs’, for short) for

setting up various wind farms in India. The address for service of

respondent No.1 and respondent No.2 is Inox Towers, Plot

No.17, Sector 16A, Noida-201 301.

5.

Before delving into the controversy involved, it is

necessary to state the facts in brief. The petitioner herein intended

to set up a Wind Power Project with the rated installed capacity

of 40 MW comprising of 20 WTGs, with each of the WTGs

having a rated capacity of 2 MW to be located within a wind park

at Dangri, Jaisalmer District, Rajasthan (‘the Dangri Project’, for

short).

6.

Since the petitioner intended to establish a fully

integrated operational project, it interred into various agreements

with respondent No.2 and several of its group entities, including

respondent No.1 for supply, erection, commissioning, operation

& maintenance of WTGs and shared services relating to them.

7.

In pursuance of such agreements, respondent No.2 and its

sister concerns including respondent No.1 assumed responsibility

for setting up the Dangri Project, operating & managing it as well

as carrying out all ancillary works / services pertaining to it.

Respondents and its group entities were thus required to supply,

install, set-up and maintain the WTGs in running condition after

acquiring land and developing it in addition to providing shared

services.

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8.

The petitioner, therefore, entered into an agreement with

respondent No.1 on July 24, 2014 for shared services on the