HPERC announces draft Renewable Power Purchase Obligation and its Compliance (Sixth Amendment) Regulations, 2019
The Himachal Electricity Regulatory Commission (HPERC) has recently announced its draft regulations for the RPO obligation and compliance following a clarification by Ministry of Power, on 01.02.2019 regarding the capping of RPO for Captive Power Plants (CPP) and stated that RPO of the CPP may be pegged at the RPO level applicable in the year in which the CPP was commissioned. As and when the company adds to the capacity of the plant, it will have to provide for additional RPO as obligated in the year in which new capacity is commissioned. There will not be an increase in RPO of CPP without any additional fossil fuel capacity being added.
In co-ordination to this the Himachal Pradesh Commission, has amended its principal regulation – the RPO Compliance Regulations, 2010, and the draft regulations will be Renewable Power Purchase Obligation and its Compliance) (Sixth Amendment) Regulations, 2019. The regulations will come into effect from 01.04.2020.
The amendments introduced in the regulations are as follows:
The draft regulation has also revised the Minimum Percentage for Renewable Power Purchase obligation which is as stated below:
The above stated RPPO percent will be applicable to the total consumption of electricity by an obligated entity, excluding consumption met from hydro-electric sources of power.
In case there 85% achievement of RPO compliance is done from solar and further if any shortfall prevails, it can be fulfilled from can be met by excess Non-Solar energy purchased beyond specified Non-Solar RPPO for that particular year and vice-versa stands true for Non-solar compliance.
Cases where the capacity of CPP is commissioned after 31.03.2016, the year in which the capacity commissioning takes place will be considered for the applicability of RPPO rates for the entire commissioned capacity. Similarly, if the capacity is further commissioned, the year in which the latest commission takes place will be considered for RPPO.