The Delhi High Court has granted interim relief to Reliance Power’s subsidiary, Reliance NU BESS, in a petition pertaining to disqualification from participating in three bids solely on the ground of the debarment order dated November 6, issued by Solar Energy Corporation of India (SECI), against the petitioner.
On November 26, the HC had granted a stay order on SECI’s debarment notice against Reliance Power and its subsidiaries except for Reliance NU BESS, formerly known as Maharashtra Energy Generation.
SECI, the implementing agency for renewable energy projects in the country, on November 6 had barred Reliance Power and its subsidiary Reliance NU BESS from participating in tenders for three years. The debarment had come after the company was found to submit fake bank guarantees in a 1,000 MW/2,000 MWh standalone battery energy storage systems (BESS) project tender released in June.
Reliance Power had then moved the Delhi High Court, challenging SECI’s debarment notice .
The court, in a hearing on December 24, said that other companies in the group are undertaking large projects of public importance and wish to participate in the tenders issued by the government, but the debarment order is coming in the way of their effective participation.
The order highlighted that over 4 million shareholders of Reliance Power stand to lose.
“Emphasis is laid on the fact that it is not the respondent (SECI) who is issuing these tenders but other entities, including Uttar Pradesh Power Corporation (UPPCL) and Rajasthan Rajya Vidyut Utpadan Nigam (RVUNL) and other public authorities,” the order said. “Despite the interim relief, the debarment order will come in the way of each and every tender by Reliance Power affiliates or subsidiaries.”
In the meantime, the three bids — issued by SJVN, UPPCL and RVUNL — submitted by the affiliates or subsidiaries of Reliance Power shall not be disqualified solely on the ground of the SECI debarment order, the court said.
In response to its debarment, Reliance Power had earlier said that the company and its subsidiaries acted bonafidely and have been a victim of fraud, forgery and cheating conspiracy.
The company has also lodged a criminal complaint in this regard with the Economic Offence Wing of Delhi Police against the third party on October 16, 2024.