Ms Bhoruka Power Corporation Limited vs Gulbarga Electricity Supply Company Limited
Case NumberOP/33/2024
Date of Filing25 Nov 2024
Case TypeOriginal Petition
Last Hearing--
CourtKarnataka Electricity Regulatory Commision
StateKarnataka
CityBengaluru
Year of Filing--
Party Details
Petitioner
N
A
B
H
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K
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G
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D
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1
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Y
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N
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4
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D
5
6
0
0
0
1
Respondent
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G
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B
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G
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5
8
5
1
0
2
Hearing History (1)
26NOV
2024
Case called for admission on 26.11.2024. Counsel for Petitioner Smt. Poonam Patil present, made submissions for admission of the petition for declaring PPA is valid and subsisting till 02.09.2025 and to enter SPPA from 02.12.2024 to 02.09.2025. Further prays for NoC from the respondent-GESCOM on the expiry of PPA i.e., after 02.09.2025 for entering Wheeling and Banking Agreement for Open Access. Commission heard the counsel, perused Annexure-A and averments of the petitioner and noted that the petitioner’s generation plant was commissioned in 3 phases on different dates with the Unit 1 for 1.5 MW on 03.12.2004. This date has been considered as the date of commencement of the PPA by both the parties, consequently the 20 years’ terms ends on 03.12.2024. Thus the date of completion of 20 years needs to be adjudicated. However, the petitioner issued communication to the respondent on 27.08.2024 communicating that term of the PPA ends on 02.12.2024 and sought for ‘No Objection Certificate’ to enter into a Wheeling and Banking Agreement as they could not continue supplying power to the Grid on account of financial constraints. The respondent-GESCOM has not considered the SCOD on the terms of PPA and concluded that COD was on 02.12.2004 and denied to issue NOC for Wheeling and Banking as the capital cost of the project is recovered and there is only R&M expenses to be incurred. Aggrieved by this, petitioner has filed this petition.It appears from the materials placed before the Commission that there is a dispute between the petitioner and the respondent GESCOM with regard to the date on which the PPA would expire. However. It is clear from the letter dated 27.08.2024 addressed by the petitioner to the respondent that the petitioner is willing to go for Wheeling and Banking Agreement. That being the intention of the petitioner, the petitioner may apply for such facility through online portal and get such relief. But to process the same a reasonable time is required to the petitioner. In the meantime, if the petitioner is prevented from injecting energy to the Grid as per the agreement now in force even according to Respondent which would be in force till 02.12.2024, the dispute between the parties would further augment and it would lead to further complications. Considering all these aspects and keeping in mind the principle of equity, we are of the opinion that if the petitioner is permitted to inject the energy to the Grid at least till the end of 31st December, 2024 on the same terms and conditions of the agreement which is in force no irreparable loss would come to the respondent. In the meantime, the petitioner is at liberty to take necessary steps to apply for Open Access through WBA. Since the petitioner is already connected to the Grid and has been transmitting Energy for a long time, the question of transmission constraint or availability of corridor may not arise. Order regarding injecting the energy to the Grid would be in force till 31st December, 2024. Thereafter, the petitioner would not get right to inject the energy in to the Grid, unless it has entered into Wheeling and Banking Agreement as per Regulations. Consequently, the Commission decides to dispose off this petition at this stage itself as the petitioner would get fresh cause of action in case any other sort of disputes arises between the parties in this regard.