A.No. 37 of 2016 of Lalpur Wind Energy Private Limited. v. Karnataka Power Transmission Corporation Ltd. & Ors.
Case brief
What is this about?
Appellant wind energy firm appealed against Karnataka Electricity Regulatory Commission order denying compensation for energy injected prior to wheeling and banking agreement execution. Tribunal upheld the order, ruling that without a valid agreement, Section 70 of Contract Act does not apply and banks cannot claim compensation for unscheduled power.
What did the court decide?
The impugned order of the Karnataka Electricity Regulatory Commission is upheld; compensation limited to average pooled power purchase cost for specific delay periods.