Vedanta Arm To Pay Rs 127-Crore Penalty As Supreme Court Rules In Favour Of Punjab State Power Corp

Vedanta Limited on Thursday informed stock exchanges that the Supreme Court has ruled against its arm, Talwandi Sabo Power Ltd. (TSPL), in a case related to alleged misdeclaration of power availability, resulting in a penalty payout of nearly Rs 127 crore along with applicable late payment surcharge.

In an exchange filing, Vedanta said it had received a disclosure from TSPL regarding a judgement dated May 20, 2026 passed by the apex court in appeals filed by Punjab State Power Corporation Ltd. (PSPCL) and Punjab State Load Despatch Centre (PSLDC).

“The Hon'ble Supreme Court of India, vide order dated 20.05.2026 passed in Civil Appeal Nos. 7436 and 7432 of 2025 filed by Punjab State Power Corporation Limited (PSPCL) and Punjab State Load Despatch Centre (PSLDC), has set aside the judgment dated 18.03.2025 passed by the Appellate Tribunal for Electricity (APTEL), restored the order passed by the Punjab State Electricity Regulatory Commission (PSERC), and allowed the appeals preferred by PSPCL,” the filing said.

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According to the disclosure, the Supreme Court “upheld the alleged penalty on TSPL for misdeclaration of availability for January 2017 in terms of the Grid Code, along with the applicable Late Payment Surcharge.”

“An amount of approximately Rs 127 crore and applicable Late Payment Surcharge is payable to PSPCL,” the company said.

Vedanta further noted that TSPL's equity shares are currently in the process of being listed on the BSE and NSE following the demerger of the merchant power undertaking from Vedanta Ltd.

The disclosure was signed by Prerna Halwasiya, Company Secretary and Compliance Officer of Vedanta Ltd., while the communication from TSPL was signed by Bhagya Hasija, Company Secretary & Compliance Officer of Talwandi Sabo Power Ltd.

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