The Power Ministry has written to the Andhra Pradesh government advising it to “respect” existing power purchase agreements (PPAs) with renewable energy suppliers. The state is currently in the midst of a legal battle with a number of renewable energy suppliers after it decided to renegotiate tariffs with renewable power suppliers for PPAs that were signed by the previous government.
“The Ministry has written to the Andhra Pradesh government that they should respect the power purchase agreements. If there is no corrupt motive, PPAs must be respected,” said a central government official who did not wish to be quoted.
