The Karnataka High Court (HC) has issued an interim stay on Karnataka Electricity Regulatory Commission (KERC)’s order to revise the wheeling and banking charges for renewable power projects. The order was issued by KERC on May 14, 2018. The stay order has been issued in response to the writ petitions filed by renewable energy developers.
The developers believe that the retrospective clause would completely upset their financials, since they had won projects quoting tariffs which presumed transmission and wheeling charges would remain as pre-decided. The arbitrary decision is likely to affect investment in the sector