The scuffle between Karnataka government and its power regulator over whether power from wind projects commissioned before March 31 this year should be paid Rs 4.50 per unit or Rs 3.74 takes a bitter turn. In a letter dated November 9 appealed high court that the state government had no right to interfere with its decisions on tariffs. In the reply, the state government asked to reconsider its move since the matter involved “public interest”.

The order was passed on September 4 for reducing the fixed wind tariff from Rs 4.50 to Rs 3.74 per unit set two years ago. It also said that all wind projects that are not yet approved would be endorsed only at the new lowered rate. This created a problem for 270.50 MW of wind projects which was commissioned before March 31 and were already supplying power to supplying power to Karnataka’s power distribution companies at Rs 4.50 per unit, but whose power purchase agreements (PPAs) awaited KERC’s approval.