Should we re-consider Renewable Purchase Obligation in Tamil Nadu?

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Gujarat Set to Amend Regulations for Renewable Purchase Obligation - Mercom India

TNERC's last order pertaining to Renewable Purchase Obligation stands at 14% of the total RPO requirement as a percentage of the consumed power. The Solar RPO stands at 5% which is a part of the total RPO specified earlier!

This is pertaining to the financial year 2017-18.

Beyond this date, TNERC proposed a change in the RPO fulfilment by the consumers. A draft of the regulatory order was proposed in November 2019 for the years 2019-20, 2020-21 and 2021-22.

Total RPO for 2019-20 was proposed to be set at 16.25% and Solar RPO at 6%. While for the years 2020-21 and 2021-22, the total RPO was set at 18.25% and 21% respectively. The Solar RPO was set at 8% and 10.50% respectively and will form a part of the total RPO fulfilment expected from the consumer.

The nature or type of the consumers were not differentiated.

It is worth to note what is happening in the other states. Maharashtra Regulatory body had already announced a RPO of 9% from 2020-21 to 2024-25. The regulatory body had announced a composite RPO for the five years. In a judgment recently, MERC has held invalid the previous RPO set by itself for the years 2016-17 to 2019-20. The RPO percentage was between 11% and 15%. This observation was made by MERC on the grounds that the RPO obligation set earlier was too steep to meet and that when the subsequent obligation is less than the previous one, it cannot be held!

With this in background and an analysis of the RPO obligations set by states such as Chattisgarh at 1% and many others not being more than 6%, it is rather too high to expect Tamil Nadu to have an obligation of 21%.

We need to be Earth friendly, true. But should we not also be human friendly? Business friendly?



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