Amid lockdown, Punjab gets drawn into legal dispute with power plant

THE PUNJAB State Power Corporation Limited (PSPCL)’s decision to invoke force majeure — a clause in contracts to seek reprieve from liability when there is an unforeseen situation — in a power purchase agreement has been challenged before the Punjab and Haryana High Court. An amount of over Rs 200-220 crore is involved in the dispute, according to the parties involved in the litigation.

While the court on Friday did not issue a formal notice after the state raised a question about a writ petition’s maintainability in the matter, Advocate General Atul Nanda was asked to seek instructions with regard to the case filed by Talwandi Sabo Power Limited.