Don’t reduce purchase of green power: High Court

Source: economictimes.indiatimes.com

HYDERABAD: The Andhra Pradesh High Court ordered the state power transmission firm to refrain from arbitrarily reducing the power it evacuates from renewable projects, giving a breather to developers who have set up more than 7,500 MW of solar and wind energy capacity. 

Several wind and solar power developers early last week moved the high court against AP Transco, complaining it had backed down on buying power generated by projects without attributing a reason or any abnormality on the national grid.

The interim order was pronounced on Thursday, the day the union renewable energy ministry asked states to ensure “must run” status of wind and solar units and that curtailment of such power could be done only over issues such as grid safety and security. The court’s formal order was made available on Monday. 

The clean energy developers alleged that the AP Transco, the state load dispatch centre, acting at the behest of Andhra government, “unfairly started imposing backing down of power” generated by them frequently, indiscriminately and contrary to the Indian Electricity Grid Code in a bid to circumvent the high court’s interim orders. Responding to the latest complaint, the court ordered AP Transco to “discharge statutory functions fairly and refrain from arbitrary curtailment of power generation projects”.

Earlier on July 25, the high court had stayed the orders of the YS Jaganmohan Reddy government on constituting a high-level committee to renegotiate power purchase agreements (PPAs) entered into by the previous government with wind and solar projects. 

Responding to the latest complaint, the court ordered AP Transco to “discharge its statutory functions fairly and refrain from arbitrary curtailment of power generation by the power generating projects.” 

Reddy, who has been alleging irregularities and corruption in the PPAs entered into by the previous regime of N Chandrababu Naidu, had also threatened to cancel the PPAs and save public money. 

The Andhra government moved ahead with its decision, not heeding to the advices of the union renewable energy ministry, which aired concerns over adverse effects on investor confidence and future investments in  ..