The electricity regulator of Maharashtra through an order dated 20th Dec’13 has extended some relief to Tata Power Company (TPC) – Distribution. MERC has relaxed the solar RPO targets as stipulated under relevant RPO regulations for three consecutive fiscals. TPC – D has been directed to meet the shortfall in RPO for FY 2010-11, FY 2011-12 and FY 2012-13 cumulatively by FY 2016.
In pronouncing such waiver of solar RPO targets, MERC has taken into consideration the efforts put to comply with previous targets, by TPC-D. It is convinced by the proposed addition of 25MW Dhiganchi Solar Power Plant, along with some other steps taken by TPC-D, that the latter has taken adequate timely steps and thus warrants such a relaxation.
As per data furnished in the order, TPC-D has an obliga-tion to buy 36.54, 39.90 & 43.57 MUs of solar power from FY14 t FY16 respectively. TPC-D expects to have a shortfall of 51 MUs by the end of FY16, even after taking ade-quate steps, under the existing scene of obligations.
This move is expected to take away 63,440 solar RECs from solar REC market, which is currently marred by poor demand. Also, this order may propel other states to come with similar orders which will in the long run, hit market further badly.
The order can be assessed here .