The Andhra Pradesh High Court has stayed the state government’s attempt to renegotiate tariff for renewable power producers, saying that negotiating procedure is outside the jurisdiction of the government under the Electricity Act and there should be no haste in these matters. The state government said it would now move the Andhra Pradesh Electricity Regulatory Commission (APERC) on power purchase agreements (PPAs) and tariff revision.
Renewable power producers had moved the high court challenging the government’s attempt to renegotiate PPAs and revise tariff. The government defended its plan to cancel PPAs, saying it was within its power to take such a decision and the negotiation committee set up by it was only to find if a consensus could be arrived at.