REC Trade Results Feb 2015

We are pleased to share the Result of REC trading for the month of FEB-15.

  • Solar RECs – Overall market clearance remained optimistic this time, with steep rise in demand at PXIL and overall good clearance at both the exchanges. Demand rose from close to 30000 last month to 44,869 this time, albeit the huge inventory waiting to be cleared.
  • Non Solar REC market also showed good signs of improvement with total of 747,487 Non-Solar RECs getting cleared in today’s trade session, compared to 537,009 in the last trading session.

Detailed trade results are tabled below for your kind reference.

Non-Solar RECs

Solar RECs

REConnect Energy is the market leader in the REC Market in India, with 36% market share and a portfolio of over 3 GW RE. We have been recently acknowledged with the REC Trader of the Year 2014.

Team REConnect



UPERC Notifies Draft Solar Rooftop Regulation

Uttar Pradesh Electricity Regulatory Commission (UPERC) in its latest notification has presented draft for  solar rooftop and net metering regulation. The regulation has been named as UPERC (Rooftop Solar PV Grid Interactive System Gross / Net Metering) Regulations, 2015. The regulation come will in force from the date of notification in the official gazette.

The regulation will apply to the distribution licensee and consumers of the licensee. The eligible consumer can install rooftop solar systems under gross metering or net metering scheme. The consumers claiming accelerated depreciation (AD) benefits on rooftop solar systems will only be eligible for net metering scheme and not gross metering.

The maximum peak capacity of the grid connected rooftop solar system to be installed by any eligible consumer shall not exceed 90% of the contract demand of the consumer.

Basic Difference Between Gross Metering and Net Metering schemes: If the consumer installs solar rooftop under the gross net metering scheme he will have to inject entire power generated into the grid, while in other case if the consumer opts for Net Metering scheme he will be entitles to use the power generated at his premises and will be allowed to inject the surplus power into the grid.

The more details about the draft regulations is in the table below:

The commission has invited comments and suggestions through a public notice, by 1st March 2015.

The Draft Can be accessed here.

TNERC Finalizes APPC for FY 14-15

Tamil Nadu Electricity Regulatory Commission (TNERC) in its latest notification dated 4th Feb 2015 has finalized APPC for FY 14-15.

The definition of the APPC being followed by TNERC can be read as: Pooled cost of power purchase’ means the weighted average pooled price at which the distribution licensee has purchased the electricity including cost of self generation in the  previous year from all the long-term energy suppliers, but excluding those based on liquid fuel, purchase from traders, short-term purchases and renewable energy sources subject to the maximum of 75% of the preferential tariff fixed by the Commission to that category / sub category of NCES generators”.

The APPC determined by TNERC for FY 14-15 is Rs. 3.38 per unit or 75% of the preferential tariff fixed by the Commission to that category / sub category of NCES generators, whichever is less.

The APPC for FY 14-15 has increased by 8.6% compared to APPC of FY 13-14. Given below is the APPC of previous years, with % increase year on year:

The Order can be accessed here.


Solar Rooftop & Net Metering

In recent months many states have formulated ‘Net metering’ policies. These polices herald an exciting phase in the development of solar sector in the country as they will enable every household to become a power generator.
In this article, we have compared the various net-metering approached adopted by states. Some states have formulated regulations, while other have declared policies. While regulations are specific and binding, policies are more directional and state-ments of intent. Further, it is important to study and understand the fine-print of the regulations or poli-cies, as the way the policy works will have a signifi-cant impact on the return made by investors of roof-top projects.
A key difference is in the tariff paid for power ex-ported to the grid. Some states have adopted a ‘feed-in-tariff’ (FIT) approach, while other will al-low carryover of excess power to the next month – implying that the tariff is equal to the retail tariff be-ing paid by the consumer. FITs range from Rs 8.15 to Rs 9.56 per unit – these are significantly higher from the recently discovered prices of MW scale solar

projects of Rs 6- 7 per unit. In the case of offset with retail tariffs, projects will benefit from annual escala-tions, and therefore will see increasing savings over the life of the project.
We believe that net-metering regulations are im-portant to make solar of every roof a reality. How-ever, a key shortcoming in the existing regulations is that the procedure to get net-metering going are missing. Any net-metering project will involve an agreement with the Discom, and this is where pro-cedural and operational challenges will crop up. Simple, yet detailed and time-bound procedures need to be laid out on how to make a roof-top pro-ject a reality. Only Delhi has made some headway in laying down detailed procedures that projects can follow to get net-metering in place.
Table below compares each policy with the other.


KERC Reduces Fuel Adjustment Charge (FAC) to Zero

The Karnataka Electricity Regulatory Commission (KERC) in its new order has reduced the Fuel Adjustment charge (FAC)  to zero for all distribution companies (ESCOM’s) except MESCOM for the second quarter of the 2015 (i.e. Jan to March 2015).

The commission in its order stated that “The Commission, having recognized the decrease in fuel cost adjustment charges for all the ESCOMs except MESCOM in the second quarter of FY15 and the overall increase in power purchase cost, decides to allow all the ESCOMs except MESCOM to adjust the savings in FAC against the overall increase in power purchase cost”.

In the case of MESCOM, the commission has decided to allow collection of FAC to an extent of 1 paisa /unit during the billing quarter January – March 2015. Hence no FAC will collected from consumers of all ESCOM’s except MESCOM separately during January – March, 2015.

The commission in its previous order had calculated 1paisa/unit as FAC, which has now been reduced to zero for other ESCOM’s of Karnataka except MESCOM.

The order can be accessed here.

MPERC proposes RPO Target & Finalizes Biogas Tariff

RPO Target

The Madhya Pradesh Electricity Regulatory Commission (MPERC) on 30th Jan 2015, has proposed new Renewable Purchase Obligation (RPO) target for FY 15-16. The commission in its previous order dated 19th November 2010 had finalized RPO targets till FY 14-15. The amendment proposes RPO target for FY 15-16, the details are in the table below:

The MPERC in its previous order defined targets till FY 14-15, which was same as proposed for the in the draft i.e. total  7% RPO. The commission, through a public notice, has invited comments and suggestion from stake holders by 22nd Feb 2015.

The Draft can be accessed here.

Biogas Tariff

The commission in its order dated 5th Feb has declared tariff for the biogas energy sources. This tariff order will be applicable to all new biogas based power generation projects in Madhya Pradesh commissioned on or after the date of issue of this order for sale of electricity to the distribution licensee. The control period for this order will start from the date of issue of this order and will end on 31.03.2018.

The levellized tariff determined by the commission for new biogas projects will be Rs. 4.20 per unit for 20 years, and the tariff for the existing biogas plant will be Rs. 3.40 per unit for 20 years from the date of commissioning. The distribution licensee will deduct 2% of the energy injected towards wheeling charges in terms of units.

The above determined tariffs shall apply to projects that do not avail benefit of accelerated depreciation (AD), which is 80%. For projects availing benefits of AD, the above tariff shall be reduced by Rs. 0.10 per unit.

The order can be read here.


RERC Draft Tariff for Biomass and Biogas sources of Energy

Rajasthan Electricity Regulatory Commission (RERC) has notified the draft for the determination of tariff for Biomass, Biogas and Biomass Gasifier Energy sources. The Commission through a public notice has invited comments and suggestions from interested stake holders by 20.02.2015.

The Tariff proposed for the existing Plants for which Power Purchase Agreements have been executed under GoR Policy of 1999 and commissioned before 30.09.2008, will be as per given in the table below:

Other Charges Payable by The generators –

kVArh charges  – Net kVArh (Reactive Power) drawal by generating plants from the Grid will be billed at 12.50 paise / kVArh w.e.f 01.04.2015 escalated annually at 0.50 paise / kVArh.

Transmission & Wheeling Charge and Cross Subsidy Surcharge – These charges will vary according to the commission orders, the commission in its respective orders will determine such charges.

Banking:  Energy banking at consumption end is allowed only for only captive consumption within the State. The banking will be on monthly basis. Banking charges at the rate of 2% of banked energy in each month would be payable.

The Draft proposed is available here.

Our Previous post on the Rajasthan Net Metering regulation can be read here.

UPERC Finalizes RE Tariff

The Uttar Pradesh Electricity Regulatory Commission (UPERC) in its order dated 22nd Jan 2015, has finalized y the regulation for Captive & Renewable Energy Generating Plants. The UPERC has also finalized the tariff’s for different RE sources of generation under this regulation.

The Commission earlier in November last year released a draft seeking comment and suggestion from stake holders. The details of the tariffs finalized are given in the table below:

For Solar Energy the commission will take the capital cost into consideration and will give the tariff every year based on the capital cost variations.

The UPERC Order is available here.

Our Previous blog post on the UP Net Metering can be read here.

Go to top