Jaipur Vidyut Vitran Nigam Ltd. vs Adani Power Rajasthan Ltd.

The Supreme Court ruled that under Article 8.3.5 of the Power Purchase Agreement (PPA-2010), Adani Power Rajasthan Limited is entitled to a Late Payment Surcharge of Rs.1376.35 crore from the Rajasthan Discoms due to the non-availability of domestic coal, which necessitated reliance on higher-cost imported coal. The Court upheld the findings of the Rajasthan Electricity Regulatory Commission regarding the change in law compensation, affirming that the applicant's claims were valid. The Court dismissed the Rajasthan Discoms' appeals against the compensation awarded for change in law, thereby reinforcing the contractual obligations under the PPA-2010.