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Power Ministry puts draft green energy rules on its website for comments

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Power Ministry

The Union Ministry of Power has “Draft Electricity (promoting renewable energy through Green Energy Open Access) Rules, 2021” for the purchase of green energy and power from waste-to-energy plants. The draft rules have been circulated and uploaded on the Ministry’s website https://powermin.gov.in/ to seek comments within 30 days.

The draft rules have been drafted with various the following subheads under which the details for the same have been provided. These subheads include Renewable Purchase Obligation (RPO); Green energy open access; Nodal Agencies; Procedure for grant of green energy open access; banking; and cross-subsidy surcharge.

On tariff, the rules propose that the Appropriate Commission will determine the tariff for green energy. The tariff will include the cost of average pooled power of the renewable energy, cross-subsidy charges (in case any), and service charges that cover all prudent costs of the distribution licensee for providing the green energy.

Addressing the green hydrogen, the draft rules state that it is the hydrogen produced using electricity from renewable sources. “The obligated entity including the Industries can also meet their Renewable Purchase Obligation by purchasing green hydrogen. The quantum of green hydrogen would be computed by considering the equivalence to the Green hydrogen produced from one MWh of electricity from the renewable sources or its multiple. The norms shall be notified by the Central Commission.”

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Also, the rules propose guidelines for green energy open access. It states that the Appropriate Commission shall formulate regulations according to this Rule for providing Green Energy Open Access to consumers. Within a maximum time period of 15 days, all the applications shall be granted permission for open access to Green Energy. This is “provided that only consumers who have contracted demand/sanctioned load of 100 kW and above shall be eligible to take power through green energy open access. No supply limit shall be affixed for the captive consumers taking power under green energy open access. Provided further that reasonable conditions such as the minimum number of time blocks for which the consumer shall not change the quantum of power consumed through open access may be imposed so as to avoid high variation in demand to be met by the distribution licensee.”

(With inputs from PIB)

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