New Delhi: Adani Power has waived off an estimated Rs 11,000 crore compensation claim to reach an out-of-court settlement with Gujarat Urja Vikas Nigam ,GUVNL) in dispute over termination of the power purchase agreement of February 2007 (PPA) to supply 1,000 MW of power.
Both the institutions have filed a joint petition in the Supreme Court seeking dismissal of a curative petition. Gujarat Against the apex court’s July 2019 decision, the power utility legalized the termination of Adani Power’s PPA and ordered GUVNL to compensate the company for power supplied from alternative sources.
Adani Power had moved the SC after losing the case against GUVNL in the State Regulatory Commission and the Appellate Tribunal for Electricity.
The entities have now sought to set aside the 2019 order, saying they have settled their dispute over certain aspects of the 2007 PPA and the two supplementary PPAs signed in December 2018. As part of the agreement, Adani will not give effect to Power’s termination. 2007 PPA, the main cause of contention, and dropping the compensation claim for power supply from alternative sources.
Neither Adani Power nor GUVNL spokespersons were immediately available for comment. The 2007 PPA pertains to supply from Adani Power’s plant at Korba, Chhattisgarh. The company terminated the PPA on the ground that the plant was not getting coal from the nominated nanny The block which was to be developed by Gujarat Mineral Development Corporation. As an alternative, it offered power from an imported coal-fired plant: Mundra,
Both the institutions have filed a joint petition in the Supreme Court seeking dismissal of a curative petition. Gujarat Against the apex court’s July 2019 decision, the power utility legalized the termination of Adani Power’s PPA and ordered GUVNL to compensate the company for power supplied from alternative sources.
Adani Power had moved the SC after losing the case against GUVNL in the State Regulatory Commission and the Appellate Tribunal for Electricity.
The entities have now sought to set aside the 2019 order, saying they have settled their dispute over certain aspects of the 2007 PPA and the two supplementary PPAs signed in December 2018. As part of the agreement, Adani will not give effect to Power’s termination. 2007 PPA, the main cause of contention, and dropping the compensation claim for power supply from alternative sources.
Neither Adani Power nor GUVNL spokespersons were immediately available for comment. The 2007 PPA pertains to supply from Adani Power’s plant at Korba, Chhattisgarh. The company terminated the PPA on the ground that the plant was not getting coal from the nominated nanny The block which was to be developed by Gujarat Mineral Development Corporation. As an alternative, it offered power from an imported coal-fired plant: Mundra,
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