India State to Renegotiate Renewable Pacts Citing High Rates
- Andhra Pradesh blames tariffs for discoms’ poor finances
- State’s discoms owe $2.9 billion to generators, it says
Men walk past solar panels in Surajpur, Uttar Pradesh, India.
Photographer: Prashanth Vishwanathan/Bloomberg
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India’s southern state of Andhra Pradesh will renegotiate some power purchase agreements for renewable projects to improve the finances of its electricity retailers.
The state’s distribution companies, or discoms, owe 200 billion rupees ($2.9 billion) to generators mainly because of “abnormally priced” wind and solar power purchase agreements, according to a July 1 posted on the state government’s website.