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In a recent decision, the Tamil Nadu Electricity Regulatory Commission (TNERC) resolved a dispute concerning outstanding payments between M/s. Apraava Wind Energy (Theni – Project II) Private Limited and the Tamil Nadu Generation and Distribution Corporation (TANGEDCO). The dispute, originating from a petition filed by Apraava Wind Energy, sought to address several key issues related to payment obligations, late payment surcharges, and contractual amendments.
Apraava Wind Energy petitioned the TNERC to declare TANGEDCO liable for the payment of outstanding amounts totaling ₹81,32,93,175/- as of September 30, 2023. Additionally, Apraava Wind Energy requested TANGEDCO to create a payment security mechanism for future tariff invoices and to amend existing agreements to reflect a change in the petitioner’s name.
However, the petition encountered challenges regarding its classification and the applicable fees. The TNERC Registry objected to treating the petition as a miscellaneous one and insisted that it should be classified as a Dispute Resolution Petition, subject to higher fees. Despite Apraava Wind Energy’s arguments, both the Registry and the Secretary of the Commission upheld the classification decision, citing relevant regulations and the absence of clear dispute resolution grounds.
During the proceedings, Apraava Wind Energy attempted to assert its case based on the Government of India Rules on Late Payment Surcharges (LPS). However, the Commission found this argument to be a departure from the original grounds presented before the Registry and Secretary. Ultimately, the Commission upheld the decision to classify the petition as a Dispute Resolution Petition, emphasizing the importance of regulatory compliance and statutory provisions.
Notably, Apraava Wind Energy failed to address the Registry’s concerns regarding the absence of communication from TANGEDCO regarding liability denial. This lack of clarification further weakened the petitioner’s position and reinforced the Commission’s decision.
In conclusion, the TNERC’s ruling underscores the importance of adherence to regulatory procedures and fee structures in resolving disputes within the energy sector. Despite the petitioner’s efforts to challenge the classification, the Commission upheld its decision based on statutory provisions and regulatory guidelines. Moving forward, Apraava Wind Energy is directed to refile its petition with the appropriate fees, ensuring compliance with regulatory requirements.
This decision highlights the Commission’s commitment to fair and transparent dispute resolution mechanisms, contributing to the overall stability and integrity of the energy sector in Tamil Nadu.
Please view the document here for more details.
