NHPC, the largest hydropower generator in India, has filed a special appeal in the Uttarakhand high court (HC), challenging the judgment issued by a single bench judge in February, which upheld the state’s right to levy additional tax on hydropower projects.

After hearing the matter on Friday, the division bench of Chief Justice RS Chauhan and Justice Alok Kumar Verma issued notices to the state government and the state commission for water tax on electricity generation, water resource department, irrigation department and nodal officer of the research and rehabilitation department. The court has given all respondents four weeks to file their counters.

Although the petition also sought a stay on the judgment of the single judge bench, the court refused to grant the relief and asked the counsel appearing for the firm to place its previous orders dealing with the same issue on record.

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