August 6, 2021 (MLN): Kot Addu Power Company Limited (KAPCO) has informed that actions for the withdrawal of the LDs Arbitration before the International Chamber of Commerce (ICC) in Singapore have been completed.
The aforesaid announcements were made by the company in continuation of its previous notice dated May 24, 2021 and earlier notices in respect of the LDS Arbitration.
The Arbitral Tribunal issued a Consent Order acknowledging the settlement of disputes between the Company and the Power Purchaser (Central Power Purchasing Agency (Guarantee) Limited), and the withdrawal of all claims and counterclaims as per the settlement terms of the Third PPA Amendment Agreement.
The ICC has taken notice of the termination of the LDs Arbitration.
Earlier this year, in the month of February, the Power Purchaser and the Company had agreed to jointly approach the ICC Tribunal to settle all the claims and counterclaims in Arbitration. Through this settlement, the parties agreed to treat the outage period (2009 to 2016) due to fuel shortage as Force Majeure Event under the Power Purchase Agreement.
