SC rules out compensatory tariff to Tata Power, Adani Power; stocks tumble

Shares of Tata Power fall as much as 6.78%; Adani Power slumps 20% to its lowest since Feb 21

The Supreme Court on Tuesday set aside an order by the Appellate Tribunal For Electricity allowing compensatory tariff to Tata Power Ltd and Adani Power Ltd, sending down shares of both companies.

Shares of Tata Power reversed early gains to fall as much as 6.78 percent, while Adani Power slumped up to 20 percent to its lowest since February 21.

The tribunal, in April last year, had said that the two companies needed to be compensated as the change in Indonesian laws on coal export prices were outside the control of these companies.