Vedanta Limited reported that its subsidiary, Talwandi Sabo Power Limited (TSPL), has been directed by the Supreme Court of India to pay a penalty of nearly Rs 127 crore for allegedly misdeclaring power availability. The court overturned a previous judgment and upheld the penalty imposed on TSPL for misdeclaration of power availability in January 2017 under the Grid Code, along with late payment surcharge. The penalty amount, along with the surcharge, is to be paid to Punjab State Power Corporation Limited (PSPCL) as per the court’s ruling.
Vedanta mentioned that TSPL’s equity shares are undergoing listing on the BSE and NSE following the separation of the merchant power business from Vedanta Limited. The regulatory filing by Vedanta highlighted that the Supreme Court’s decision, in response to appeals by PSPCL and Punjab State Load Despatch Centre (PSLDC), annulled the Appellate Tribunal for Electricity’s (APTEL) previous judgment and reinstated the Punjab State Electricity Regulatory Commission’s (PSERC) order.
The communication from TSPL, signed by Bhagya Hasija, Company Secretary and Compliance Officer, confirmed the court’s ruling on the penalty for misdeclaration of power availability. Prerna Halwasiya, Company Secretary and Compliance Officer of Vedanta Limited, signed the disclosure submitted to the stock exchanges regarding the judgment and penalty against TSPL.
