Renew Power, Mytrah Energy and Torrent Power have approached the central electricity regulator, seeking to terminate power purchase agreements (PPAs) of at least 565 MW of proposed wind projects. The companies had signed the PPAs with the Solar Energy Corporation of India (SECI).
The companies went to the Central Electricity Regulatory Commission (CERC) to ensure that SECI does not invoke the bank guarantees they had issued to the Ministry of New and Renewable Energy’s nodal agency for conducting wind and solar auctions.
All three developers have got a stay order against invocation of their bank guarantees.
Renew Power and Mytrah Energy want to terminate PPAs of projects of 265 MW and 300 MW respectively, that they won in the Tranche-IV auction held by SECI in 2018.
The deadline for commissioning these projects was March 2020 and both the developers failed to do it. Tariffs in the auction were in the range of Rs 2.51-2.52 per unit of power.
Renew Power in its petition to CERC maintained that it is forced to terminate its PPA on account of force majeure events. Mytrah Energy wants to exit its contract because of land issues in Tamil Nadu.
Renew Power has commissioned 5,600 MW of projects. Mytrah Energy has commissioned 2,000 MW of projects. Torrent Power has commissioned around 600 MW of projects.
