MoP directive on ‘No LC-No Power’ suspended

The Andhra Pradesh High Court at Amaravati ruled that the centre is not empowered to issue directions to restrict states from buying electricity from the spot market even if the power distribution companies (discoms) failed to get letter of credit (LC) issued from banks in favour of the power plants. The petitioners were AP state discoms. The respondents were the central power ministries and operations entity, and a clutch of renewable power companies.

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