APERC Approves PPAs for 841.32 MW of Wind

December 15, 2017


The Andhra Pradesh Electricity Regulatory Commission (APERC) has approved Power Purchase Agreements (PPAs) for 41 wind projects aggregating 841.32 MW.

An APERC official confirmed the approval of PPAs and said the APERC order will be available online in the next few days. The official, however, refused to comment on whether the tariff was renegotiated.

The PPAs for the entire 841.32 MW had been signed at a tariff of ₹4.8 (~$0.075)/kWh.

“At this point in time, I can only say that APERC is focused on the growth of power sector in the state. Keeping this in mind, the PPAs have been approved. The parties to these PPAs can mutually come to an agreement regarding any amendment of terms and conditions through negotiations and approach the APERC for approval,” the official added.

Mercom previously reported that Andhra Pradesh Southern Power Distribution Company (APSPDCL) had approached the APERC after deciding to renegotiate the PPAs.

In response, Orange Uravakonda Wind Power, which is developing 100.8 MW of wind projects in Andhra Pradesh and had signed PPA at the rate of ₹4.8 (~$0.075)/kWh, approached the Andhra Pradesh High Court for intervention in the matter. The High Court subsequently directed the APERC to resolve the issue.

The APERC has also issued a directive, cautioning both the Distribution Companies (DISCOMs) in the state against entering into PPAs with any power developer without getting a nod from the Commission.

When asked to elaborate on the directive, the APERC official said, “DISCOMs must not frantically enter into PPAs, they should look at the demand and then sign the PPA in a planned manner. This way, there will be lesser disputes between the implementing agencies, DISCOMs and developers.”