Indian firm Reliance Power has pulled out of plans to buy Jaiprakash Power Venture's (JPVL) hydropower assets citing prevailing regulatory uncertainties and tariff issues.
The deal, which would have made it the largest provider of hydroelectric power in the private sector in India, was originally announced back in July, and included of the 300MW Baspa Stage II, 1091MW Karcham Wangtoo and the 400MW Vishnuprayag hydropower projects in Himachal Pradesh and Uttarakhand.
However, in a statement released yesterday Reliance said, along with JPVL, it had terminated discussions with regards to the acquisition.
It is the second time JPVL has seen a deal to buy its hydro portfolio fall through. Earlier this year it was announced United Arab Emirates-based Abu Dhabi National Energy Co. (Taqa) had pulled out of a planned acquisition as a result of a change in business strategy and priorities.
