Adani Power, Tata Power sink further, down up to 6%

PTI Feeds
Adani Power, Tata Power sink further, down up to 6%

New Delhi, Apr 12 (PTI) Extending the previous day’s sharp

losses, shares of Adani Power and Tata Power today fell by up

to 6 per cent after the Supreme Court ruled that the power

discoms cannot charge “compensatory tariff” on costlier import

and set aside appellate tribunal’s judgment in this regard.

Adani Power plunged 5.77 per cent to Rs 35.05 on BSE.

Tata Power too lost 1.75 per cent to Rs 83.90.

In the previous session also, these stocks had crashed by

up to 16 per cent.

Tata Power’s wholly-owned subsidiary Coastal Gujarat

Power and Adani Power had originally moved the Central

Electricity Regulatory Commission (CERC) seeking higher tariff

on the ground that their input costs had gone up due to rupee

devaluation and higher costs of coal imported from Indonesia

following a regulation passed by the South-East Asian nation.

The apex court did not agree with the contention of these

firms, which referred to the findings of the Appellate

Tribunal for Electricity, that the rise in coal price

consequent on change in the Indonesian law was a factor which

entitled them to claim compensatory tariff.

This is published unedited from the PTI feed.