Uttar Pradesh Issues Draft Regulations for Solar and Wind Deviation Charges

Uttar Pradesh is set to become the seventh state to issue rules for deviation settlement


The Uttar Pradesh Electricity Regulatory Commission (UPERC) has issued draft regulations for the forecasting, scheduling, and deviation settlement of solar and wind power generation.

The new regulation states that UPERC would impose deviation charges for the under as well as over injection of power by solar and wind power generators.

The regulations are meant to facilitate large-scale grid integration of solar and wind generating projects while maintaining grid stability and security.

With this, Uttar Pradesh is set to become the seventh state after PunjabMaharashtraHaryanaAndhra PradeshGujarat, and Tamil Nadu to issue rules for the forecasting, scheduling, and deviation settlement of solar and wind generation.

These regulations will come into force from the date of their publication in the official gazette. The new regulations are set to apply to all wind and solar energy generators that have a minimum capacity of 5 MW and are connected to the state grid independently or through pooling sub stations.

These regulations are also set to apply to all wind and solar energy generators regardless of capacity if they are connected to the state grid through pooling station. It would also apply to the solar parks with a total capacity of 5 MW and above.

According to the regulations, wind and solar project developers would be required to appoint a Qualified Coordinating Agency (QCA) to perform meter reading, data collection, and communication. The QCA would also be tasked with coordinating with the distribution companies (DISCOMs), state load dispatch centers, and other agencies, as well as overseeing the settlement of deviation charges.

UP deviation charges for wind and solar

This recent draft regulation is one among many as the state regulatory commission is trying to turn around the renewable energy sector through policy intervention. UPERC has issued a spate of orders and new regulations to change the renewable energy landscape of Uttar Pradesh.

Recently, the UPERC amended its Captive and Renewable Energy Generating Projects (CRE) Regulations 2014 with changes that are expected to reduce the cost of solar power procured from standalone projects in the state.

To further the growth of rooftop solar industry in the country, in the past, UPERC also proposed using an aggregator model to support the installation of rooftop solar for groups of consumers under the net-metering policy.

Recently, UPERC also approved certain modifications to the competitive bidding guidelines issued by the Ministry of New and Renewable Energy (MNRE) for solar PV projects. The modifications are set to improve the implementation of 1 GW of grid-connected solar PV projects by Uttar Pradesh’s New and Renewable Energy Development Agency (UPNEDA).

Saumy Prateek Saumy is a senior staff reporter with MercomIndia.com covering business and energy news since 2016. Prior to Mercom, Saumy was a copy editor at Thomson Reuters. Saumy earned his Bachelors Degree in Journalism & Mass Communication from the Manipal Institute of Communication at Manipal University. More articles from Saumy Prateek.