The Andhra Pradesh Electricity Regulatory Authority (APERC) has enhanced the capital cost of GVK Group's 216 MW Phase 1 gas power project in East Godavari by Rs 66.74 crore. With the order coming 15 years after the project started commercial operations, the seemingly small enhancement may cost more than a couple of hundred crore, after calculating the interest on the arrears from 1997. APTransco, the state power utility, has to bear the additional bill under the power purchase agreement (PPA) signed with the company.
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