Supreme Court issues a notice to Sasan Power on a states' plea

On November 20 last year, the tribunal had set aside the CERC order which disallowed Sasan Power's claims seeking compensation

The Supreme Court on Thursday issued a notice to Sasan Power on a plea moved by Haryana Power Purchase Centre, Ajmer Vidyut Vitran Nigam, MP Power Management Company, and Punjab State Power Corporation seeking to stay the Appellate Tribunal for Electricity’s judgment that allowed several claims of the Reliance Power-owned company. 

On November 20 last year, the tribunal had set aside the Central Electricity Regulatory Commission’s (CERC) order which disallowed Sasan Power’s claims seeking compensation. 

Sasan Power had approached CERC with a plea that owing to changes in law during the construction of the power plant, the increase in the declared price of land, the cost of implementation of resettlement and rehabilitation, geological reports, among others for the power station, Moher, Moher-Amlohri Extension and Chhatrasal captive coal blocks had led to a significant increase in its capital costs. 

Owing to these, it had asked the CERC to either ask the state to pay increased compensations, or allow it to raise tariffs.