UPERC Strike Downs Solar Companies Rebate Claims

Two companies, PSPN Synergy Pvt. Ltd. and Salasar Synergy Private Limited had petitioned the Uttar Pradesh Electricity Regulatory Commission (UPERC) seeking directions against UPPCL. The companies had alleged that UPPCL amended the power purchase agreement (PPA) entered between them.

The two renewable generators had also requested the commission to direct UPPCL to pay the late payment surcharge due to a delay in the payment of bills raised by it and to refund the rebate illegally deducted by UPPCL.

PSPN Synergy had submitted that a late payment surcharge amounting to ₹4,796,180, calculated at the rate of 1.25% per month, and illegally deducted rebate amounting to ₹612,579.24 should be paid back to it.

Similarly, Salasar Synergy Pvt. Ltd. had submitted a late payment surcharge amounting to ₹1,353,074, again calculated at the rate of 1.25% per month, and illegally deducted rebate amounting to ₹251,446 should be paid back to it.

After going through submissions made by the parties in both the cases, the commission opined that in both the cases the petitioners (PSPN Synergy Pvt. Ltd. and Salasar Synergy Pvt. Ltd.) are not eligible to receive the late payment surcharge on bills raised prior to the adoption of new tariff on November 21, 2017.

The commission further noted that the change in PPA and the documents were according to the orders issued by it.

Regarding the rebate, the commission stated that for bills raised before the tariff revision of November 2017, no rebate would be admissible as no surcharge was allowed for that period.

If any excess rebate has been deducted by UPPCL, the same will be refunded, the commission ordered.

Reference- Mercom India