On August 31, a Supreme Court Bench headed by Justice Arun Mishra approved the decision by electricity regulators to grant Adani Power “compensatory tariffs” amounting to Rs 8,000 crore for electricity generated at its power plant in Rajasthan. The verdict is the seventh judgment since 2019 in which benches headed by him have ruled in favour of Adani group companies.
In a judgement that is expected to be pronounced before September 2, the Supreme Court will decide on a seven-year-long dispute between Rajasthan’s electricity distribution companies and a power generation company in the Adani group. The Adani group company stands to gain over Rs 5,000 crore if the judgement goes in its favour.
Regulatory authorities have interpreted rules in ways that have resulted in mounting losses for public sector electricity distribution companies while users are paying higher tariffs. The Supreme Court granted Adani Power Rajasthan Limited rights to claim over ₹2,500 crore from three Rajasthan discoms by passing through tariff increases to electricity consumers, despite a 2017 judgment forbidding such compensation.
