Vedanta Limited has announced that the Supreme Court of India has ruled against its subsidiary, Talwandi Sabo Power Limited (TSPL), in a legal dispute with Punjab State Power Corporation Limited (PSPCL). The ruling requires TSPL to pay a penalty of approximately ₹127 crore, along with an applicable Late Payment Surcharge, for misdeclaration of availability in January 2017.
The Supreme Court’s decision, dated 20 May 2026, overturns a previous judgment by the Appellate Tribunal for Electricity (APTEL) and reinstates the order of the Punjab State Electricity Regulatory Commission (PSERC). The case was initiated by PSPCL and the Punjab State Load Despatch Centre (PSLDC), who appealed against the APTEL’s decision.
The financial impact of this ruling on Vedanta is significant, as it involves a substantial monetary penalty. The equity shares of TSPL, following the demerger of the Merchant Power Undertaking from Vedanta Limited to TSPL, are currently in the process of being listed on the BSE and NSE.
This development is a setback for Vedanta’s power business, as it navigates the legal and financial implications of the Supreme Court’s judgment.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).