Maharashtra: MSEDCL wants no penalty over renewable energy targets

Posted by Ankit khatkar on March 2nd, 2020

Nagpur: MSEDCL has filed a petition in Maharashtra Electricity Regulatory Commission (MERC) urging the Commission to not levy any penalty thereon for failing to satisfy renewable energy targets, till 2022-23. The discom has claimed that despite repeated efforts by MSEDCL to acquire power through renewable energy sources but wasn't receiving responses from the bidders.

MSEDCL had earlier Commission’s proposal to revise the solar target to 13.5 percent by 2024-25 from the present 2.5 percent. The discom contended that it had been quite stiff which despite best efforts, might not be ready to achieve it.

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The total solar capacity of 12,500MW would be required by 2024-25 to realize the target against this capacity of 4,200MW. The competitive bidding process to expand the capacity takes a lot of time and there were many other factors beyond its control, the discom had said.

Some weeks ago the company had floated tenders for buying 1,350MW with a cap of Rs3.15 per unit but got bids for only 5MW. The discom increased the maximum price to attract producers. It increased the cap to Rs3.30 per unit and floated the tender again. MSEDCL has through this petition urged MERC to revise the ceiling tariff rate for solar projects with capacity 2 to 10MW at 11 kV level. The hearing on this petition was slated to be held on February 18 but has been postponed indefinitely.

On one hand, MSEDCL is unable to meet its solar target and on the other, it is opposing solar rooftop consumers by proposing an astronomical grid support charge (GSC).