Sasan Power (SPL), subsidiary of the ADAG group firm Reliance Power, has alleged before the Supreme Court that Tata Power (TPL) had suppressed information before it while challenging the bidding process of Rs 20,000 crore Ultra Mega Power Project (UMPP).
In an affidavit, Sasan Power has said that as Tata Power had lost bid for the 3,960 Mw project, it has no locus standi to challenge the tender process of the UMPP.
"The entire basis of the writ petition is misconceived as all bidders were aware that there is excess coal and that excess coal could be utilised for some other purpose," said SPL.
Tata power has challenged the government decision to allow Reliance Power to use coal from mines allotted to the Rs 20,000 crore Sasan Power Project for its other power project, and alleged favour to the ADAG group firm.
SPL has also submitted that TPL was aware that there was enough coal available in Mohar, Mohar-Almori and Chatrasal coal blocks alloted to the UMPP and as per the condition of allocation, the additional coal "could be sold, transferred, utilised for other work subject to government's permission".
"TPL choose to walk out from the tendering process midway and ceased to be a bidder of its own volition. TPL has no locus standi to challenge the permission given by the government for utilisation of coal to some other projects," said SPL.
It further said that huge investment has been made in the project and any interference at this stage would be "gravely prejudicial" to it and requested the apex court to dismiss the petition filed by Tata Power.
On Monday, a bench comprising Justice G S Singhvi and Justice A K Ganguly had impleaded the state government of Madhya Pradesh as a respondent and directed to file its affidavits within four weeks.
The court has directed to list the matter for next hearing on April 4.
In November, the apex court had issued notices to the centre, Ministry of Power, Ministry of Coal, RPower and Power Trading Corporation on TPL.
It has challenged the decision of the Empowered Group of Ministers (EGoM), allowing R-Power to use excess coal from the captive mines meant for the Sasan project in Madhya Pradesh for another 4,000-Mw project at Chitrangi, in the same state.
In August, the government said that Tata's petition was 'misleading and erroneous'.
It had also questioned the locus standi of TPL, saying, "The petitioner cannot allege violation of any legal right vis-a-vis tender process, as it waived its right by not extending the bid."
