Tamil Nadu Generation And Distribution ... vs M/S Penna Electricity Ltd

The Supreme Court examined whether power generated prior to the Commercial Operation Date (COD) could be classified as 'infirm power' entitling the supplier only to variable charges. The appellate tribunals found the power to be 'firm power' and ordered payment of fixed charges. The Court upheld the tribunals' findings, emphasizing the importance of the COD in determining the nature of power and associated charges, and dismissed the appeal. The judgment clarifies the legal interpretation of power classification in power purchase agreements and the significance of COD.