M.P. Power Management Company Ltd. vs Renew Clean Energy Pvt. Ltd.

The Supreme Court upheld the High Court's decision to set aside the termination of the Power Purchase Agreement (PPA) between M.P. Power Management Company Ltd. and ReNew Clean Energy Private Ltd. The Court found that the appellant's invocation of the bank guarantee under clause 2.5.1 of the PPA was valid, but the termination was unjustified as the respondent had made substantial progress in fulfilling the conditions subsequent. The Court emphasized the need for a fair assessment of the circumstances surrounding the project delays, particularly the challenges faced in land acquisition.