Gujarat Wind Project Faces Delay As Regulator Reviews Force Majeure Claims

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The Gujarat Electricity Regulatory Commission recently heard a petition filed by Juniper Green Beam Private Limited against Gujarat Urja Vikas Nigam Limited in connection with a 50 MW wind power project in Gujarat. The dispute centers on the company’s request for an extension of the Scheduled Commercial Operation Date, known as SCOD. The project was originally expected to be completed by May 9, 2025, but this date was later revised to October 17, 2025, following delays in tariff adoption. Now, the developer has expressed concern that it may not be able to meet even the revised deadline.

During the hearing, Juniper Green Beam explained that the project has been severely affected by what the company describes as “force majeure” events. According to their submissions, these events have disrupted the construction timeline and pushed the project into uncertainty. The reasons cited for the delay included issues related to land allotment and necessary approvals, as well as administrative disruptions caused by the conduct of general elections in the state. The company also pointed to difficulties in securing right-of-way approvals, which further stalled progress.

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Beyond these administrative hurdles, Juniper Green Beam highlighted significant challenges in the supply chain. One of the key issues mentioned was a critical shortage of solid-core insulators, which are essential components for the project’s transmission infrastructure. Adding to this, the company faced setbacks due to an indefinite strike at quarries and mines in Gujarat, which limited the availability of construction materials. The petitioner also referred to restrictions imposed by the police on vehicle movement, which they argued created additional bottlenecks in transportation and logistics. Another point raised was the uncertainty around the installation of Remote Terminal Units, a regulatory requirement, which further complicated the project’s execution. In a striking claim, the petition also listed an “undeclared India-Pakistan war” as a force majeure event, citing it as a contributing factor to the delays.

Alongside the main petition, Juniper Green Beam filed an interlocutory application seeking immediate protection from potential action by GUVNL. The company requested the Commission to pass an ex-parte order restraining GUVNL from invoking or encashing its Performance Bank Guarantee, which amounts to ₹10 crore. They also sought relief from any coercive steps such as the imposition of liquidated damages for failing to meet the project timelines. The petitioner argued that without such protection, they would face significant financial hardship while already dealing with uncontrollable external challenges.

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Representing GUVNL, legal counsel informed the Commission that they would require time to prepare a detailed response to the petition. They requested a period of two weeks to file the submissions. After hearing both parties, the Commission granted GUVNL two weeks to submit its reply and allowed Juniper Green Beam one additional week to file a rejoinder. The matter will continue after these filings, with the next date of hearing to be announced separately.

The case highlights the growing complexity of renewable energy project development, where external factors such as regulatory delays, supply chain disruptions, and even extraordinary events can significantly impact timelines. It also underscores the role of regulatory commissions in balancing the interests of developers and utilities while addressing disputes over contractual obligations and unforeseen challenges.

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