POWER GRID CORPORATION OF INDIA vs TAMIL NADU GENERATION AND DISTRIBUTION CO. LTD. AND ORS. ETC.

The Supreme Court dismissed the appeal regarding the apportionment of Foreign Exchange Rate Variation (FERV) between debt and equity, holding that the issue does not constitute a substantial question of law. The Court clarified that Regulation 1.13(a) of the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2001 does not mandate such apportionment post-calculation of FERV. The Court affirmed the methodology for calculating FERV as previously established by the Central Electricity Regulatory Commission and the Appellate Tribunal for Electricity, New Delhi.