VidhiSangh

Supreme Court of India · 25/07/2019

MADHYA PRADESH POWER MANAGEMENT CO. LTD. & ANR. M/S DHAR WIND POWER PROJECTS PVT. LTD. & ORS. versus M/S DHAR WIND POWER PROJECTS PVT. LTD. & ORS.

[2019] 10 S.C.R. 73 · 2019 INSC 814

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Summary

Objective load-despatch data showing first injection into the grid on 1 April 2016 displaced a commissioning certificate dated 31 March. The wind project therefore qualified for the newer Rs.4.78 tariff rather than Rs.5.92 under the earlier control period. Its bona fide pursuit of the higher rate did not justify denying the applicable newer tariff or forcing later competitive bidding guidelines on a project outside their scope. Processing of a power-purchase agreement at the applicable rate was directed.

Issues

  1. Whether the commissioning certificate or objective grid-injection data determined the applicable tariff.
  2. Whether the generator could receive the newer control-period rate despite litigating for the earlier rate.

Held

Result

Appeals partly allowed; High Court merits and review orders set aside. Generator entitled to the 17 March 2016 tariff order, with PPA application to be processed on that basis from 1 April 2016. Second writ petition disposed of as no longer surviving. No costs.

Judgment PDF: Supreme Court of India, [2019] 10 S.C.R. 73.