The Hindu Business Line : TN wind power producers get relief on captive use

Chennai, May 22 The Tamil Nadu Electricity Regulatory Commission (TNERC) has given a three-month extension to wind energy producers to use the unutilised energy generated for captive consumption in 2007-08.

According to an official press release, in an order on a petition filed by members of the Tamil Nadu Spinning Mills Association (TASMA), the commission has said that as a one-time measure, the wind energy producers would have time up to June to utilise the power generated between November 2007 and March 2008.

Normally, wind energy generated for captive use has to be utilised by March 31, every financial year, after which it lapses.

The wind mill owners had filed a petition to carry over the unutilised units in the banking account of 2007-08 to the financial year 2008-09. The petitioners had said that due to an acute power shortage in 2007-08, the TNEB could not supply uninterrupted HT power to industries.

Power problems

High levels of interruption in power supply, frequent power shedding, declaration of a weekly power holiday and peak hour restrictions had resulted in 25-40 per cent interruption in supply which prevented the industries from availing themselves of power. The power generated in the wind mills could not be adjusted in the HT consumption in full.

The commission has also directed that the wind energy generators should immediately enter into a fresh agreement with the TNEB in line with the TNERC Order No. 3 of May 15, 2006, applying to wind mills commissioned after that date.

The Order provides for encashment of unutilised wind energy at the end of the financial year at the rate of 75 per cent. The wind mill owners should execute the energy wheeling agreement and energy purchase agreement or they will be deemed to have contravened the orders of the commission.

For the wind mills commissioned before May 15, 2006, Order No. 3 states that their existing agreements would continue till the wind mill owners and TNEB mutually opt for renegotiation in line with the order.

TNERC has pointed out that power shortage is likely to recur during the current year also and wind mill generators and captive users have to provide for such contingencies by executing appropriate agreement with TNEB. There will be no justification for invoking this dispensation again.

The commission directed that its order giving three months additional time for using the unutilised banked wind energy at the close of 2007-08 applies to all wind energy generators set up before or after May 15, 2006.

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