Telangana HC permits TGSPDCL to participate in power exchanges for trading of electricty
TGSPDCL had applied for a grant of Long Term Access Corridor to the Power Grid Corporation of India Limited for 2000 MW capacity
By Newsmeter Network Published on 13 Sep 2024 3:08 AM GMT
Hyderabad: Telangana High Court has directed the Grid Controller of India and the Power Finance Corporation (PFC) to permit the TGSPDCL to participate in the trading of electricity in power exchanges.
On Thursday, Justice C.V. Bhaskar Reddy heard the writ petition filed by Southern Power Distribution Company of Telangana (TGSPDCL).
On September 12, the Grid Controller of India had intimated the Power Exchanges ānot to transmit the power purchase or sale/tradeā by TGSPDCL on the ground that it owes Rs. 261.31 crore for purchasing electricity from Chhattisgarh.
As this amount was due to be paid to the Grid Controller of India and PFC, the TGSPDCL was placed on the list of defaulters and was restrained from participating in future power purchase processes. Due to this, the entire power purchase of the state is affected.
When the Dy. Solicitor General Gade Praveen Kumar representing the Union Ministry of Power prayed not to issue such a direction, Justice C.V. Bhaskar Reddy observed that this is the issue of supply of power to the poor people in Telangana. Given the incessant rains in Telangana and the availability of resources, the state is in a position to generate the power and the state has no need and necessity for additional power, he said.
Further, the court directed the Dy. Solicitor General to communicate todayās order to the Secretary, Ministry of Power, New Delhi for implementation.
The court issued notices to the Chairman & Managing Directors, Grid Controller of India Limited, New Delhi, Power Finance Corporation, New Delhi, Central Transmission Utility of India Limited, Haryana, Power Grid Corporation of India, New Delhi, Indian Energy Exchange Limited (IEX), New Delhi and the Secretary, Ministry of Power, New Delhi, directing them to file their response after Dussehra Vacation.
Advocate General A. Sudarshan Reddy arguing for Southern Power Distribution Company of Telangana challenged the action of Power Grid Corporation for putting it in the default list on the āPraapti websiteā when the matter was subjudice before the Central Electricity Regulatory Commission (CERC).
TGSPDCL had applied for a grant of Long Term Access Corridor to the Power Grid Corporation of India Limited for 2000 MW capacity. However, it later requested to reduce it to 1000 MW due to its inability to secure a Power Purchase Agreement (PPA) for the full capacity, and the remaining 1000 MW was never operationalized due to a lack of necessary approvals.
The matter will be listed after Dussehra vacation.
