The Supreme Court on Monday suspended for the time being an order of the Appellate Tribunal of Electricity (APTEL), which allowed Tata Power and Adani Power to charge higher tariffs from various state utilities since March 2014, on account of a rise in the cost of imported fuel.
A bench led by Justice J S Khehar, while hearing the petitions by the power distribution utilities of Haryana, put a stay on the Aptel’s interim order on compensatory tariff and asked the tribunal to decide the matter expeditiously.
It also questioned the demands being made power producers, Tata and Adani, for a higher tariff due to “unforeseen and unprecedented escalation in the imported fuel prices” even though the companies bagged the contracts on tariff-based competitive bidding.
“You (Tata and Adani) would have kept everything in mind and even cost for a period of 25 years. Once you agree to it how can you ask for increase in prices now,” observed the bench.