HC stays Karnataka electricity commission’s retro charges on green power companies


HC stays Karnataka electricity commission’s retro charges on green power companies

The Karnataka High Court has issued an interim stay on the state electricity regulatory commission’s May 14 order that imposed transmission and wheeling charges retrospectively on renewable energy developers.

The order was passed on Thursday by a vacation bench of the court in response to writ petitions filed by wind developer Avaada and two Bengalurubased developers — the Prestige Group and the Embassy Group. Although the next date of hearing has not been fixed, the court has asked Karnataka Electricity Regulatory Commission (KERC) to respond in writing to the developers’ submissions.

Solar energy producers were so far exempted from paying transmission and wheeling charges, while other renewable energy developers paid 5% of the cost of their tariff.

KERC’s order directed that all renewable energy producers should pay 25% of the same charges imposed on conventional power producers — solar developers from April 2017, wind developers from October 2013, and small hydro developers from January 2015. Read More

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