New Delhi, Feb. 19 -- The Union government plans to set up a new tribunal solely to enforce power purchase contracts, power and new and renewable energy minister Raj Kumar Singh said, creating an additional legal safety net for investors.

The National Democratic Alliance government, which is facing investor criticism over a controversial attempt by the Andhra Pradesh government to renegotiate clean energy tariffs with developers, plans to amend the Electricity Act of 2003 to create the tribunal that will be headed by a retired judge.

The tribunal will also deal with contract issues where electricity distribution companies (discoms) don't buy the full quantum of electricity agreed upon in the power purchase agreement (PPA). It will functio...