MPERC Proposes Scrapping Must-Run Status of Renewable Energy Generation in Madhya Pradesh


The Madhya Pradesh Electricity Regulatory Commission (MPERC) has proposed applying scheduling and merit order dispatch principles to energy generation from co-generating and renewable energy generating units from time to time, implying that it wants to end the must-run status of renewables. The proposal is open for comments and suggestions until August 18, 2017.

The proposal is part of a process being undertaken by MPERC to amend MPERC’s (Cogeneration and Generation of Electricity from Renewable Sources of Energy) (Revision-I) Regulations, 2010.

MPERC also stated in its proposal that any person generating electricity from co-generation and renewable sources of energy will have open access subject to availability of adequate transmission.

Wheeling charges, a cross subsidy surcharge, and an additional surcharge on the wheeling charges as decided by MPERC will apply from time to time. MPERC also stated in the proposal that power generators will be entitled to draw power exclusively for their own use from the transmission network to synchronize their projects with the grid or during a project’s shutdown period.

This move puts into jeopardy the must-run status given to renewable energy generating sources and projects. When contacted, MPERC officials declined to give a statement and said the proposal is open for comments.

According to Mercom’s India Solar Project Tracker, Madhya Pradesh has an installed solar capacity of around 1.2 GW and ~1 GW of solar projects are under development. The state saw some of the lowest tariffs in the solar sector during the Rewa Solar Park auction. If accepted in its current form, the amendment would place a huge question mark over the state government’s plan to further renewable energy in Madhya Pradesh.

Image Credit: By Paul Mannix (Temple at Khajuraho, Madhya Pradesh, India) [CC BY-SA 2.0], via Wikimedia Commons


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