(FE)
Tuesday’s Supreme Court order on compensatory tariffs has removed the uncertainty over whether a change in government policy like the New Coal Distribution Policy (NCDP) will constitute a “change in law” (CL) that allows the regulator to fully correct the tariff disadvantage arising from it to power generators. The result: Power capacities to the tune of 60,000 megawatts will be completely safeguarded from the cost increases due to vicissitudes of policy changes over the entire period — usually 25 years — of their supply contracts with discoms. The beneficiaries of the policy clarity include a veritable who’s who of private-sector power firms
