escoms: respect agreement with power generators, says karnataka high court to escoms Bengaluru News – Times of India

Bengaluru: Karnataka High Court issued instructions to power companiesescomsTo honor all the duties, obligations and liabilities under the power purchase agreements signed with the power producers in the State.
As per these guidelines, all Escoms are also directed to make prompt, regular and timely payment in favor of electricity generator on electricity generator bill or challan without delay. The court was hearing petitions filed by several power generation companies.
Allowing a batch of petitions filed by several power generation companies, Justice SR Krishna Kumar The said that the failure to make the payment impacts the ability of the petitioner to continue with the energy generation, which has a huge and massive impact on the production and supply of renewable energy.
Observing that failure on the part of Eskom to honor the PPAs required the intervention of the court for violation of constitutional norms, the judge said that the action by Escom runs contrary to the requirement of the policy. KERC To promote renewable energy.
The petitioners, some of them operating solar power plants and some other wind power plants, had sought direction against Escom (HESCOM and Gescom) for discharging statutory and contractual obligations by paying in lieu of power purchased from them. .
Escoms, on the other hand, argued that the petitions are not maintainable as an alternative remedy is available to them before the KERC, specially constituted for such purposes.
He claimed that dues of rural and urban local bodies, state government, subsidy dues from farmers have been largely not paid by Eskom, and as a result, Eskom is not in a position to pay dues to power generating companies. , including the petitioners, at the time.

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