HPERC DETERMINES GENERIC LEVELLISED TARIFF FOR SOLAR PV PROJECTS

Himachal Pradesh Electricity Regulatory Commission (HPERC) has determined the regulations for determination of generic levelised tariff for solar PV projects. The tariff has been determined in parts.

 

  • Tariff determined for the Solar PV projects applicable from 01.04.2017 to 30.09.2017 is as follows:

The capital cost has been determined at Rs 446 lakh/ MW and the tariff determined is:

 
  • Tariff determined for the Solar PV projects applicable from 01.10.2017 to 31.03.2017 is as follows:

The capital cost considered for solar projects is 446 Lakh/ MW for projects above 1 MW to 5 MW and 452.70 lakh/ MW for projects over 1 MW capacity. The tariff determined is as follows:

In comparison to the tariff of previous years, there has been a steady decrease of 17%. The following graph shall make this clearer:
 
The order can be accessed here.

TRADE RESULTS OF ESCERTS FOR WEEK 15

The fifteenth trading session of ESCerts took place today.

 

BEE (Bureau of Energy Efficiency), in its circular dated 02.01.2018 has announced an extension of the last date for compliance of PAT Cycle – 1 to 19th January 2018 from 31st December 2017. No change in the timings of trading have been proposed by BEE.

This extension has been granted since out of 384 DCs, application for 33 are still under approval process by the registry.

 

In total, there was a demand for 145,150 ESCerts, a decrease of nearly 60.34% from last week. This demand was against a total supply of 777,567 ESCerts (decrease of 28.96% since last week).  Market clearing price was determined at Rs 500/ ESCert (the price determined last week was Rs 899 per ESCert), with 28,983 ESCerts sold (value traded decreased by 92.7%; the total traded value was Rs 1.45 crore).

The trading data provided by IEX on their website can be accessed here.

 

 

Source: IEX

TRADE RESULTS OF ESCERTS FOR WEEK 14

The fourteenth trading session of ESCerts took place today.

 

In total, there was a demand for 365,980 ESCerts, a decrease of nearly 50% from last week. This demand was against a total supply of 1,094,568 ESCerts (increase of 31.68% since last week).  Market clearing price was determined at Rs 899/ ESCert (the price determined last week was Rs 1,000 per ESCert), with 2,20,791 ESCerts sold (value traded decreased by 55.87%; the total traded value was Rs 19.85 crore).

 

This was the last trading session for compliance under PAT cycle I. In total 10.85 lakh ESCerts have been purchased till date, compared to an estimated demand of about 14.25 lakhs ESCerts. The following graph illustrates the total demand as compared to the total ESCerts traded.

 

Companies that have failed to purchased ESCerts in compliance with their PAT Cycle I requirements will be required to now pay penalty at the rate of Rs 10,968. It will be upto BEE to levy and collect the penalty.

 

Based on the experience so far in the RPO markets, there are hardly any instances of imposition of penalty. However, if the BEE extends the deadline or fails to impose the penalty in a timely manner, it will set a very poor precedent for PAT Cycle II.

The trading data provided by IEX on their website can be accessed here.

Source: IEX

Regards,

Team REConnect

TRADE RESULTS OF ESCERTS FOR WEEK 9

The ninth trading session of ESCerts took place today.

In total, there was a demand for 10,963 ESCerts, a decrease of 10.44% from last week. This demand was against a total supply of 336,121 ESCerts (increase of 5.10% since last week).  Market clearing price was determined at Rs 200/ ESCert (same as last week), with 7513 ESCerts sold (value traded reduced by 38%; the total traded value was Rs 0.15 crore). REConnect’s market share in this trade session was 72%.

 

 

Source: IEX

 

 

TRADE RESULTS OF ESCERTS FOR WEEK 8

The eighth trading session of ESCerts took place today.

 

In total, there was a demand for 12,241 ESCerts, an increase of  of 6.25% from last week. This demand was against a total supply of 3,19,810 ESCerts (decrease of 26.7% since last week).  Market clearing price was determined at Rs 200/ ESCert (compared to Rs 350 last week), with 12,125 ESCerts sold (value traded reduced by 33%; the total traded value was Rs 0.24 crore).  The price of ESCerts has reduced to nearly 1/6th from where it started.

 
Source: IEX
A circular has been released by the Bureau of Energy Efficiency (BEE) instructing all the Designated Consumers (DCs) which had not achieved their energy saving targets to comply to their obligations as per PAT cycle-1 through purchase of ESCerts. The circular also mentions the penalty for non compliance as maximum Rs 10 lakh and the additional penalty to be incurred.

TRADE RESULTS OF ESCERTS FOR WEEK 7

The seventh trading session of ESCerts took place today.

In total, there was a demand for 11,521 ESCerts, a decrease of 45.23% from last week. This demand was against a total supply of 4,36,394 ESCerts (increase of 13.83% since last week).  Market clearing price was determined at Rs350/ ESCert (compared to Rs 500 last week), with 10,351 ESCerts sold (value traded reduced by 62%; the total traded value  was Rs 0.36 crore).  The price of ESCerts has reduced to nearly 1/4th from where it started.

 

 

 

Source: IEX

MAJOR REFORMS EXPECTED IN THE ENERGY SECTOR, SAYS POWER MINISTER

In an article in  Financial Express, the power minister, Mr RK Singh, declared that huge reforms are to be expected in the power sector in the near future. Few of such reforms mentioned were PPAs for all the electricity requirement being made mandatory in all Indian states, cross subsidy in tariff being limited, compensation of low agriculture tariff  by increasing the industrial and commercial tariff and introduction of Direct Benefit Transfer (DBT). Also, introduction of a penalty provision  to those not meeting their RPO targets. This is in line with the Draft National Electricity Policy released by Niti Ayog in June 2017. The Union Minister also added that carriage and content shall be separated by his ministry which shall give the end user the flexibility to where they want to procure electricity from.

GUVNL’S BIDDING FETCHES TARIFF OF Rs 2.65

In a bidding which took place on 19th September 2017 for a 500 MW solar plant of Gujarat Urja Vikas Nigam Ltd. (GUVNL), the lowest price determined was Rs 2.65 per unit. This was slightly higher than the price of Rs 2.44 determined in the last reverse bidding by SECI. This increase in the price determined was attributed to the implementation of GST and the increase in the cost of solar panels being imported from China.

A continuous decreasing trend has been seen in the tariff determined for solar projects in the Country this year. The following graph determines the trend in prices of solar power determined in the past:

The article can be accessed here.

IEX’S ELECTRICITY PRICE IN DAY AHEAD MARKET REACHES NEW HIGH THIS MONTH

In the Day Ahead Market trading held by IEX (Indian Energy Exchange), the average tariff of electricity has been between Rs 3 to Rs 4 per unit. But within 12 days of September, the average tariff has gone up to Rs 8.7 per unit.

This increase in prices is majorly attributed to the reduction in generation from wind and hydro power plants, though the demand has remained stable as compared to last year.

 
As per the graph, it is clear that the prices for this month have been much higher as compared to the price in the previous months for the reasons mentioned above.
The article can be accessed here.

KSERC RELEASES TARIFF ORDER FOR FY 2017-18

KSERC (Kerala State Electricity Regulatory Commission) has released a tariff order determining the retail tariff for FY 2017-18 for the state. Salient features of the order are as follows:

 

 

Transmission Charge: The transmission charge for FY 2017-18 is Rs 0.37/unit

Wheeling Charges: The wheeling charges determined for the FY 2017-18 are Rs 0.31/unit

Cross Subsidy Surcharge: The cross subsidy surcharge is  Rs 0.91/unit.

 

The order can be accessed here.

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