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Home News Power Sector News APERC should settle Lanco case in 4 weeks - Andhra HC

APERC should settle Lanco case in 4 weeks - Andhra HC

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APERCThe high court on 11-04-2011 directed the A P Electricity Regulatory Commission (APERC) to deliver its decision within four weeks in the ongoing dispute between Lanco power project and the APTransco over payment of damages on account of delay in the implementation of the project.

The division bench comprising justice Goda Raghuram and justice P Durga Prasad made this order after hearing the parties concerned.

Citing the provisions of the power purchase agreement, the Transco imposed damages of Rs 95 crore on Lanco for the delay in commissioning the project by 844 days. Lanco challenged the Transco order.

Lanco, which paid half of the fine amount, however, challenged the action of Transco, and did not pay the balance.

The matter earlier reached the Supreme Court, which directed the APERC to settle the dispute early. But owing to the pendency of this writ petition in the high court, the APERC did not take up the case.

Appearing for the state and Transco, advocate general A Sudarsan Reddy told the bench that the issue fell in the purview of the electricity regulatory body. The bench too agreed with the AG and referred the matter to APERC with a direction to settle the dispute within four weeks.

Source- Times of India


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