High Court Notice To Andhra Pradesh for Not Honouring Power Purchase Agreements

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High court issued notices to state government regarding contempt petitions filed by solar energy producers who had power purchase agreements (PPAs).

Contempt petitions were filed by the companies alleging that the government failed to pay their dues according to court orders.

The high court had earlier rejected the state government’s proposal to renegotiate power tariff. Accordingly, the court ordered that all outstanding fees be paid within six weeks.

After hearing the arguments for the solar power producers, Chief Justice Prashant K. Mishra and Justice Ninala Jayasurya sent notices to the state government directing them to file counter affidavits. The matter will be further heard on August 8.