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Adani Power gets relief for Lohara block cancellation

The Maharashtra Electricity Regulatory Commission validated Adani Power’s claim for compensatory tariff from state-owned discom Maharashtra State Electricity Distribution Company (MSEDCL) for additional costs incurred in supplying power from its 3,300 MW Tiroda plant, after the allocation of the Lohara coal block withdrawn due to environmental reasons.Analysts estimate the compensation could be around Rs 2,500 crore (including carrying costs) for the supplies in the 2013-2018 period.Holding that the cancellation of the coal block qualifies as a ‘Change in Law’, the state power regulator asked the discom to reimburse the company for the expenses it had to bear to make fuel arrangements to compensate for the shortfall arising from the coal bl.....

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