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MNRE Issues Amendment For Dispute Mechanism


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The Ministry of New & Renewable Energy (MNRE) recently issued an order on  Amendment regarding dispute Resolution Mechanism to consider the unforeseen disputes between solar and wind power developers and SECl/ NTPC/ NHPC, beyond contractual agreements.

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Some of the important amendments are The DRC will consider all kinds of cases of appeal against decisions given by SECl/NTPC/NHPC on disputes, SEC/NTPC/NHPC from the date of application. No separate extension of time shall be granted for overlapping periods of effect as a result of two or more causes, In case of Extension of Time dispute, the fee payable shall be 1% (one percent) of the impact of SECl/NTPC/NHPC’s decision being challenged, with the impact being limited to the Performance Bank Guarantee (P80) submitted for the project concerned, and which in no case be less than Rs. 1,00,000/- (Rupees one lakh) and not more than Rs. 50,00,000/- (Rupees fifty lakh).

In case there is no PBG covering the dispute, then the fee shall be 1% (one percent) of the total impact of the dispute, which in no case be less than Ps. 1,00,000/- (Rupees one lakh) and not more than Ps. 50,00,000/- (Rupees fifty lakh). 

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To know more about the order refer to the document below:

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