The cancellation is regardless of the high court staying a July 1 notification issued by the Andhra Pradesh government and July 12 letters written to various developers seeking renegotiation of power tariffs from renewable energy power plants.
The conflict between renewable energy companies’ and Andhra Pradesh government is getting intense as the state has sought cancellation of 21 wind power purchase agreements with clients of Suzlon Energy and Axis Energy, as per ET reports.
The state government is not letting the wind plants operate for most hours of day without giving any justifiable reason.
Andhra Pradesh South Power Distribution Co Ltd has filed a memo in the state electricity regulatory commission to withdraw the 21 wind PPAs. The PPAs though signed were not yet approved by the regulator.
“In view of the precarious financial position of AP discoms and consequent inability to bear the additional financial burden involved in purchasing power from 21 wind developers, AP discoms have decided to withdraw the PPAs entered with various wind power projects cients of Suzlon and Axis Energy Ventures India Pvt Ltd. The APSPDCL further submits that since the PPAs are not yet approved, the same is not enforceable and the APSPDCL is at liberty to withdraw the same,” the memo to Andhra Pradesh Electricity Regulatory Commission said.
Andhra Pradesh is in a legal battle with renewable energy developers as the state has asked them to reduce electricity tariffs. The newly formed YS Jagan Mohan Reddy government, in its July 1 notification, also sought to challenge its electricity regulator’s previous decision to award must-run status to renewable projects.
On the other hand, renewable power plants have been awarded must-run status across the country to promote clean energy projects.
Modi govt is doing everything possible to achieve the target of 175 GW by 2022.— Dr. Anil Jain (@aniljaindr) July 28, 2019
A total of 80.46 GW of renewable energy capacity has been installed in the country as on June 30, 2019 which includes 29.55 GW from Solar & 36.37 GW from Wind power. pic.twitter.com/QOEdQrKfcX
Industrialization in UP breaks new ground in GBC-2! More than 250 projects costing Rs 65,000Cr will kickstart— Yogi Adityanath (@myogiadityanath) July 27, 2019
Sessions on Food Processing Industry,Defense and Aerospace Manufacturing,Electronic Manufacturing, Tourism and Film, Electric Mobility,Power & Renewable Energy to be held
Chief Minister of Uttar Pradesh, Yogi Adityanath tweeted, “Industrialization in UP breaks new ground in GBC-2! More than 250 projects costing Rs 65,000Cr will kickstart. Sessions on Food Processing Industry,Defense and Aerospace Manufacturing,Electronic Manufacturing, Tourism and Film, Electric Mobility,Power & Renewable Energy to be held”.
By: Abhinav Ranjan, Editorial Desk, DKODING Media