Singh, Ritu
PPAs and renewable energy: Lessons from the 2019 Andhra Pradesh dispute
- Economic & Political Weekly
- 60(33), Aug 16, 2025: p.27-29
In 2019, the Andhra Pradesh government constituted a committee to renegotiate renewable energy tariff rates, and the matter escalated to the court. After intensive deliberations, the court ruled that power purchase agreements cannot be renegotiated owing to competitive bidding procedures. This action set a precedent for other states to renegotiate unprofitable renewable energy PPAs. This article explains issues in the Indian power sector, including the financial burden on distributing companies, inefficiencies in power transmission infrastructure, revenue realisation issues, integration of renewables, the rigidity of long-term contracts, and the legal and regulatory frameworks for tariff determination. – Reproduced
https://www.epw.in/journal/insight/ppas-and-renewable-energy.html