Power tariff policy amended to boost clean energy usage

Our Bureau New Delhi | Updated on January 07, 2011

To enhance green energy proportion in the energy basket, the Government has amended the Power Tariff Policy to stipulate that the States' solar power purchase obligation should go up to 3 per cent by 2022.

A decision to this effect was taken by the Cabinet on Thursday. “The solar power purchase obligation for States may start with 0.25 per cent in Phase I (by 2013) and go up to 3 per cent by 2022,” an official statement said adding that, “This will be complemented by solar specific Renewable Energy Certificate (REC) mechanism to allow solar power generation companies to sell certificates to the utilities to meet their solar power purchase obligations.”

The present amendment is in accordance with the National Solar Mission strategy. The amendment will come into effect from the date of its publication in the official gazette, the statement added.

“A need was felt to prescribe specific percentages in the Tariff Policy, which would guide the State Electricity Regulators to meet the requirements under the National Solar Mission,” a senior official said.

To ensure that the State Electricity Regulators could fix a percentage of energy purchase from solar power under the renewable purchase obligation, the Ministry of Power had proposed amendment to the Tariff Policy, 2006.

Published on January 07, 2011

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