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Ergo Update

Supreme Court Holds That “Failure to Demonstrate Declared Capacity” Attracts Strict Liability and is Distinct from “Gaming”

Submitted by yvonne on Fri, 06/05/2026 - 18:26

SC in Punjab State Power Corporation Limited v Talwandi Sabo Power Limited & Ors., 2026 INSC 515 , set aside the order of the APTEL and restored the penalty order of the PSERC against TSPL, confirming a penalty of approximately INR  162 crores payable to PSPCL for failure to demonstrate declared capacity.