Tata Power, Adani Power slump as top court sets aside tribunal order

Shares of Tata Power reversed early gains to fall as much as 6.78 percent, while Adani Power slumped up to 20 percent to its lowest since Feb. 21.

A technician repairs power supply lines at a power plant of Adani Power at Mundra Port in Gujarat April 2, 2014. | Reuters

The Supreme Court on Tuesday set aside an order by the Appellate Tribunal For Electricity allowing a compensatory tariff to Tata Power Ltd and Adani Power Ltd, sending down shares of both companies.

Shares of Tata Power reversed early gains to fall as much as 6.78 percent, while Adani Power slumped up to 20 percent to its lowest since Feb. 21.

The tribunal, in April last year, had said that the two companies needed to be compensated as the change in Indonesian laws on coal export prices were outside the control of these companies.