After the UPERC cancelled PPAs with Bajaj Power owned units (as reported by TOI), BESCOM (Karnataka based DISCOM) cancelled its PPA signed before 31st March of a 75.6 MW wind power plant. The state’s energy department had already issued a letter to the DISCOMs to not sign anymore PPAs as the state has sufficient wind projects to fulfill its RPO compliance. More such cancellations from the DISCOMs are expected. The industries which are more affected by this cancellation are Gamesha, Suzlon, Inox Wind, Sembcorp Green Infra and Mytrah.
This is going to be a very discouraging development for the wind industry since a number of PPAs were signed at a higher price which is no longer being accepted by the DISCOMs. A similar development was also covered on our blog.
The article can be accessed here.