JHARKHAND INTEGRATED POWER LTD. Vs. JHARKHAND STATE ELECTRICITY BOARD AND ORS.
CENTRAL ELECTRICITY REGULATORY COMMISSION
Jharkhand Integrated Power Ltd.
Jharkhand State Electricity Board and Ors.
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(1.) THE petitioner, Jharkhand Integrated Power Ltd. was selected through the tariff based competitive bidding under Section 63 of the Electricity Act, 2003 (Act) for implementation of the 4000 MW Tilaiya Ultra Mega Power Project (the Project) in the State of Jharkhand. The distribution utilities in various States, impleaded as the respondents 1 to 18 in the petition, are the beneficiaries of the Project and have entered into a Power Purchase Agreement (PPA) dated 10.9.2008. The tariff of the project was adopted by the Commission under Section 63 of the Act vide order dated 26.4.2010 in Petition No. 281/2009.
(2.) THE petitioner has filed the present petition with the following prayers:
"a) That this Hon'ble Commission may be pleased to hold that the Petitioner is entitled to be compensated through Monthly Tariff Payments on account of increase in the Capital Cost of the said Project (Tilaiya Ultra Mega Power Project), as if such increase has not happened, by reason of inter alia, the following:
i. Increase in the Declared Price of Land;
ii. Increase in the cost of implementation of Resettlement and Rehabilitation package;
iii. Withdrawal of exemption in respect of Excise Duty on Cement and Steel;
iv. Withdrawal of exemption in respect of Customs, Additional, Auxiliary and Excise duties on mining and fuel transportation system required for the project;
v. Increase in the price of diesel;
vi. Increase in the cost of Geological Report;
vii. Increase in the cost of EPC (ISBL & OSBL) Contracts, Coal Mining and Fuel Transportation System by reason of increase in the Input Cost and Foreign Exchange Rate Variation;
b) That this Hon'ble Commission may be pleased to hold that the formula set out in Article 13.2 (a) of the PPA to be applied during Construction Period does not compensate the Petitioner so as to restore the Petitioner to the same economic position as if such Change in Law had not occurred,
c) That this Hon'ble Commission may be pleased to stipulate an appropriate mechanism/methodology in place and instead of formula given in Article 13.2 (a) of the PPA in such a manner that the Petitioner is restored to the same economic position as if such Change in Law had not occurred,
d) That this Hon'ble Commission may be pleased to direct that costs relating to increase in the Declared Price of Land and increase in the R&R package be made payable through Monthly Tariff as fixed by this Hon'ble Commission within Two years from the Scheduled Commercial Operation Date of the Project,
e) That this Hon'ble Commission may be pleased to direct that for the purpose of escalation in Escalable Capacity Charge, November 14, the identified date for first unit COD, be deemed to be Zero date,
f) That this Hon'ble Commission may be pleased to direct that Commercial Operation Date of Units shall stand revised on day to day basis till commitment of Procurers as per Clause 3.1.2 (A) is not met in order to make the Tariff that has been adopted by this Hon'ble Commission applicable,
g) That this Hon'ble Commission may be pleased to direct the Procurers to comply with the conditions subsequent within such period as this Hon'ble Commission may deem fit in order to make the Tariff adopted by this Hon'ble Commission applicable,
h) For consequential reliefs,
i) Pass any such other and further reliefs as this Hon'ble Commission deems just and proper in the nature and circumstances of the present case."
The petition was admitted vide a detailed order dated 8.7.2014. The respondents were directed to file their replies to the petition. Replies to the petition have been filed by the JSEB, HPPC, TPDL, BRPL, BYPL, Distribution Companies of Rajasthan, MPPMCL, Distribution Companies of UP and GUVNL.
(3.) AFTER completion of the pleadings, the petition was listed for hearing on 12.3.2015. The petitioner vide its letter dated 9.3.2015 sought an adjournment on the ground that similar issues as raised by the petitioner in the present petition have been decided by the Commission in the order dated 21.2.2014 in Petition No. 21/MP/2013 relating to Sasan UMPP and since the petitioner has preferred an appeal before the Appellate Tribunal for Electricity against the said order, the hearing in the present petition be deferred. The Commission after consideration of the request of the petitioner adjourned the matter till further orders. The petitioner through its counsel submitted a letter dated 24.8.2014 for withdrawal of the petition without assigning the reasons. Subsequently, the petitioner filed the present IA seeking withdrawal of the petition on the ground of termination of PPA by the petitioner. Notice was issued to the respondents on the IA and the matter was listed for hearing on 28.5.2015.;
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