The Supreme Court on Tuesday upheld the rulings of the Rajasthan Electricity Regulatory Commission (RERC) and the Appellate Tribunal for Electricity (Aptel) that had allowed Adani Power’s 1,320-MW Kawai power plant to recover the additional cost incurred by it on importing coal, as the Rajasthan government could not keep its promise of making arrangements for domestic fuel supplies for the plant. The loss is estimated by the company at over Rs 5,000 crore (Rs 1,221 crore per annum between late 2013 and 2018 end).
After the RERC and Aptel rulings in May 2018 and September 2019, respectively, the power distribution companies (discoms) of Rajasthan have already paid more than Rs 2,400 crore provisionally to the company, against its claim for compensation.
