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NTPC Renewable Energy Resolves Dispute with Gujarat Urja Vikas Nigam, Withdraws Petitions

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Representational image. Credit: Canva

In the context of a petition brought forth under Section 79(1)(a) & (f) of the Electricity Act, 2003, along with relevant regulations, NTPC Renewable Energy Limited (NREPL) and Gujarat Urja Vikas Nigam Limited (GUVNL) have reached a resolution, culminating in the withdrawal of the filed petitions. The case pertains to the Power Purchase Agreement dated January 30, 2021, between the parties.

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NREPL, headquartered at NTPC Bhawan in New Delhi, initially presented Petition No. 279/MP/2022, seeking relief through several prayers including the declaration of specific events as force majeure under Article 8 of the PPA. The petitioner sought an extension of 13 months and 13 days for a 200 MW Solar Power Project, as well as a directive against coercive actions by GUVNL during the pendency of the case.

Concurrently, NREPL also filed Petition No. 284/MP/2022, mirroring similar prayers, but seeking a 15-month extension for a 150 MW Solar Power Project.

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The matter, however, took an unexpected turn when the learned counsel for the Petitioner notified the Central Electricity Regulatory Commission (CERC) that GUVNL had already addressed their concerns. The government of Gujarat, via an official communication dated July 11, 2023, extended the Scheduled Commercial Operation Date (SCOD) for both projects until March 31, 2024.

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As a result, NREPL deemed their grievances resolved, rendering their original prayers in the petitions redundant. The learned counsel sought the Commission’s permission to withdraw both Petition No. 279/MP/2022 and Petition No. 284/MP/2022.

In light of these developments, the Commission granted NREPL the permission to withdraw the petitions. Consequently, both matters have been disposed of as withdrawn. This outcome underscores the efficacy of collaborative efforts in addressing critical concerns within the energy sector, paving the way for smoother operations and enhanced regulatory clarity.

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