Maharashtra State Electricity Distribution Co. Ltd. (MSEDCL) has come up with its wind energy policy in consultation with the MEDA (Maharashtra Energy Development Agency) in order to promote the wind energy generation in the state. The policy was notified on 3rd June, 2014, and will be applicable on projects commissioned in FY 2014-15 and onwards.

This can be taken as a positive step by MSEDCL towards RPO compliance. Under the PPA, the entire power produced will be sold to MSEDCL.

In our opinion, since power is to be sold at tariff determined under PPA with MSEDCL, therefore the projects cannot avail REC’s.

MSEDCL has also set up time limits for connectivity permission as given below:

Processing Fee –
The wind power developer has to submit a non-refundable processing fee of Rs. 1.00 Lac per MW of grid connectivity.Extension of 6 months shall be granted on valid grounds as per directives of MSEDCL. If the generator fails to commission the project within extended period, they will have to re-apply for grid connectivity.

Security Deposit – The wind project developer has to submit a Performance Bank Guarantee of Rs. 5.00 Lacs per MW for sanction of gird connectivity, towards security deposit.

Wind Power Scheduling – It is mandatory for the generator to forecast and schedule the power produced, as per CERC guidelines.

More details on the order can be read here.