Haryana constitutes high-power panel headed by ex-SC judge to address Adani Power PPA issues, notifies Terms of Reference

‘Crucial step to resolve long-standing disputes’

The notification has been issued under the authority of Shyamal Misra, Additional Chief Secretary to the Government of Haryana, Energy Department. “The formation of this committee is being seen as a crucial step toward resolving long-standing power sector disputes and ensuring affordable and reliable electricity supply for consumers in Haryana,” a senior officer told The Indian Express.

According to the notification issued by the Governor of Haryana, the committee will conduct a comprehensive examination of all relevant documents related to the Mundra TPP units 7 to 9.

Sources disclosed that “one of the key objectives is to analyse and ascertain whether Adani Power Limited has faced any financial or operational hardship in supplying power to Haryana. If such hardship is established, the committee will also examine the mode and manner in which it can be mitigated, taking into account the actual costs incurred by APL in delivering power up to the Haryana periphery, as compared to the energy charge rate quoted under the existing PPA,” the notification issued on January 30 reads.

Sources disclosed that “APL had been facing several operational and financial challenges while supplying electricity to Haryana under long-term PPAs. These issues include gap between the tariff fixed in the PPAs and the actual cost of power generation.”

“The agreements were signed at a time when fuel and operational costs were lower, but subsequent increases in coal prices and other inputs have made supply at the contracted rates financially unviable. The Mundra power plant relies partly on imported coal, and sharp fluctuations in international coal prices, along with changes in export regulations by coal-producing countries, have significantly increased fuel costs. All these and other factors shall be considered by the committee that is aimed to mitigate all such issues for smooth inflow of power to Haryana,” the source said.

Under the long-term PPAs between Haryana and Adani Power, the state’s two distribution companies – Dakshin Haryana Bijli Vitran Nigam Ltd (DHBVNL) and Uttar Haryana Bijli Vitran Nigam Ltd (UHBVNL) – were originally contracted to buy a total of 1,424 MW of electricity (712 MW each) from Adani Power’s Mundra Thermal Power Plant for a 25-year period.

However, under SPPAs signed later, this contracted capacity was revised. As per these updated agreements, each Haryana discom was scheduled to receive 600 MW of power from Adani Power, resulting in a combined supply of 1,200 MW to the state. However, due to disputes arising, this power supply was also disrupted.

Focus on ‘amicable resolution’ to pending claims

The committee has been empowered to call both Haryana Power Purchase Centre (that purchases power from different sources and supply to DHBVN and UHBVN to further supply it to the consumers) and Adani Power Limited “to submit details and clarifications as required during the course of its examination”, as per the notification. A major focus will be on “finding an amicable resolution to the pending claims and counterclaims between the Haryana power distribution companies (discoms) and APL, which have been a source of contention for several years”.

Another important aspect of the committee’s mandate is to examine the “rights and obligations of both APL and Haryana distribution companies in relation to the Payment Security Mechanism (PSM) under the PPAs”.

The committee will also assess “the overall viability of the PPA under the existing tariff structure and suggest appropriate mitigation measures to ensure the long-term sustainability of the agreement”.

In addition, the committee has been given the flexibility to examine any other relevant issues it considers necessary and “to suggest sustainable solutions for resolving disputes”. It may also recommend measures aimed at “reducing the overall cost of power generation, keeping the interests of consumers in mind”.

The High-Power Committee is expected to finalize its recommendations preferably within 180 days from the date of issuance of the notification dated January 30, 2026.

To facilitate the committee’s work, the Chief Engineer, HPPC, UHBVNL, Panchkula, has been designated as the nodal officer on behalf of the state government who will be responsible for presenting relevant documents before the committee and for preparing the minutes of meetings from time to time.

The notification also clarifies that notwithstanding the constitution of the committee, “the state government reserves the right to take any further action it deems fit at any stage”.