APTEL Reverses KSERC's Power Tariff Ruling
POWER & RENEWABLE ENERGY

APTEL Reverses KSERC's Power Tariff Ruling

The Appellate Tribunal for Electricity (APTEL) recently overturned a Kerala State Electricity Regulatory Commission (KSERC) order, ruling that KSERC had overstepped its jurisdiction by intervening in a multi-state electricity dispute. The dispute centered around the generation and sale of solar power, which falls under the Central Electricity Regulatory Commission's (CERC) authority.

The issue began when the Solar Energy Corporation of India (SECI) issued a tender for 300 MW of solar power, structured under a Power Sale Agreement (PSA) with the Kerala State Electricity Board (KSEB). 

The PSA, submitted for KSERC's approval, faced two significant alterations:

KSERC redefined “Appropriate Commission” to include both CERC and KSERC, potentially causing jurisdictional conflicts.

KSERC capped the tariff payable by KSEB at ₹2.44 (~$0.029)/kWh, even if CERC approved a higher rate for the solar power producer, ReNew Power.

SECI argued that the PSA and related agreements involved a composite scheme that required uniform regulation by CERC to avoid inconsistencies. KSERC defended its changes, citing its authority to regulate non-tariff aspects of the PSA under the Electricity Act 2003.

APTEL sided with SECI, ruling that KSERC's tariff cap and jurisdictional claims were inappropriate for inter-state transactions. The Tribunal emphasized that only CERC has the authority to regulate such matters, due to the interconnected nature of the agreements.

As a result, APTEL annulled KSERC’s modifications, reaffirming that CERC is the sole authority for all aspects of the PSA, including non-tariff disputes. This decision ensures consistency and prevents regulatory conflicts in multi-state electricity transactions.

Additionally, the Tribunal recently granted POWERGRID Southern Interconnector Transmission System a 289-day extension to complete a transmission project, acknowledging delays due to "force majeure" events.

The Appellate Tribunal for Electricity (APTEL) recently overturned a Kerala State Electricity Regulatory Commission (KSERC) order, ruling that KSERC had overstepped its jurisdiction by intervening in a multi-state electricity dispute. The dispute centered around the generation and sale of solar power, which falls under the Central Electricity Regulatory Commission's (CERC) authority.The issue began when the Solar Energy Corporation of India (SECI) issued a tender for 300 MW of solar power, structured under a Power Sale Agreement (PSA) with the Kerala State Electricity Board (KSEB). The PSA, submitted for KSERC's approval, faced two significant alterations:KSERC redefined “Appropriate Commission” to include both CERC and KSERC, potentially causing jurisdictional conflicts.KSERC capped the tariff payable by KSEB at ₹2.44 (~$0.029)/kWh, even if CERC approved a higher rate for the solar power producer, ReNew Power.SECI argued that the PSA and related agreements involved a composite scheme that required uniform regulation by CERC to avoid inconsistencies. KSERC defended its changes, citing its authority to regulate non-tariff aspects of the PSA under the Electricity Act 2003.APTEL sided with SECI, ruling that KSERC's tariff cap and jurisdictional claims were inappropriate for inter-state transactions. The Tribunal emphasized that only CERC has the authority to regulate such matters, due to the interconnected nature of the agreements.As a result, APTEL annulled KSERC’s modifications, reaffirming that CERC is the sole authority for all aspects of the PSA, including non-tariff disputes. This decision ensures consistency and prevents regulatory conflicts in multi-state electricity transactions.Additionally, the Tribunal recently granted POWERGRID Southern Interconnector Transmission System a 289-day extension to complete a transmission project, acknowledging delays due to force majeure events.

Next Story
Real Estate

Indian real estate attracts USD 1.4 bn institutional investments in Q1 2026: Vestian

Institutional investments in India’s real estate sector touched USD 1.4 billion in Q1 2026, marking the highest first-quarter inflow since 2022, according to Vestian. While investments fell 62 per cent quarter-on-quarter due to an exceptionally high base in the previous quarter, they rose 74 per cent compared to the same period last year, reflecting sustained investor confidence despite rising geopolitical and macroeconomic challenges.Commercial real estate remained the key driver of investment activity during the quarter, accounting for 80 per cent of total inflows, sharply higher than 38 p..

Next Story
Infrastructure Transport

VECV crosses 1 lakh annual vehicle sales milestone in FY26

VE Commercial Vehicles (VECV), a joint venture between Volvo Group and Eicher Motors, has surpassed the 1 lakh annual sales mark in FY 2025–26, recording its highest-ever commercial vehicle sales performance. The company said it sold more than 100,000 vehicles during the year, marking a major milestone aligned with the original vision of the Volvo–Eicher joint venture.The strong performance was supported by demand across categories. Light and Medium Duty (LMD) trucks contributed 47,789 units, accounting for 46.1 per cent of total sales. Heavy Duty (HD) trucks recorded 26,867 units (25.9 pe..

Next Story
Technology

Rodic Digital & Advisory partners SatSure to deploy EO intelligence in public sector

Rodic Digital & Advisory (RDA), the strategic advisory and digital transformation arm of Rodic Consultants, has signed a strategic cooperation Memorandum of Understanding (MoU) with SatSure to jointly pursue opportunities in India’s public sector. The collaboration aims to integrate high-resolution Earth Observation (EO) data and geospatial AI into government workflows to strengthen monitoring, compliance, and operational decision-making across key sectors.The partnership combines SatSure’s Earth intelligence capabilities with RDA’s expertise in government digital transformation and ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement