BENGALURU: The Karnataka high court has issued guidelines directing electricity companies (Escoms) in the state to honour all duties, obligations and liabilities under the power purchase agreements signed with power generators.
As per these guidelines, all Escoms are also directed to make prompt, regular and timely payments in favour of the power generators without delay over bills or invoices of the power generators. The court was hearing a batch of petitions filed by a host of power-generation companies.
Allowing a batch of petitions filed by a host of power-generation companies, Justice SR Krishna Kumar pointed out that failure to make payments has ramifications on the petitioner’s ability to continue to generate energy, which has drastic and largescale impact on generation and supply of renewable energy.
