SECI Vs. WFRPL: Judicial Clarification on Renewable Energy Project Timelines

BACKGROUND

The case "Solar Energy Corporation of India Limited (SECI) vs. Wind Four Renergy Private Limited (WFRPL)" revolved around delays in the commissioning of a wind power project.

WFRPL had entered into five Power Purchase Agreements (PPAs) with Power Trading Company India Limited to supply wind power, with SECI acting as the implementing agency.

The project faced delays due to the inter-state transmission system's Long-Term Access (LTA) not being operationalized on time by Power Grid Corporation of India, which was only completed on 14th April, 2019.

Due to these delays, the Ministry of New and Renewable Energy granted an extension for the project's commissioning by 60 days after the LTA became operational.

SECI accepted that WFRPL's commissioning date would be extended to 13th June, 2019.

However, WFRPL claimed they were not informed of the LTA operationalization until 22nd November, 2019 and sought further extensions.

The Central Electricity Regulatory Commission (CERC) granted an additional 132-day extension, which SECI accepted, but WFRPL appealed to the Appellate Tribunal for Electricity (APTEL), which decided that the 132-day extension should start from 11th January, 2022.

SECI Challenged this decision in the Supreme Court, which found APTEL’s decision irrational and contrary to the scheme and PPA.