A petition has been filed by Renew Wind Energy, Ostro Renewables, Mytrah Vayu and CLP Wind Farms against Rajasthan SLDC and Rajasthan Rajya Vidyut Prasaran Nigam Ltd against the unlawful and unpredictable instructions issued by SLDC for backing down of generation of electricity. Wind generation companies argued that SLDC had issued backing down orders in the past giving grid stability as one of the reason. They also pointed out that the backing down orders were random in nature and were given despite providing regular day-ahead forecasts to SLDC


To this the SLDC had responded that such orders were given to RE generators only after they had been given to the generators of conventional energy. Also, the reasons for the orders had been duly noted by the SLDC to ensure transparency.


The commission held a hearing and after which, it made the decision to dismiss the petition and SLDC has been warned to issue backing down orders to RE generators strictly based on the Grid Code and a record of backing down and its reason shall be maintained.


The order can be accessed here.


E-reverse auction for grid connected wind project of 500 MW in Gujarat which took place on 21 December 2017 saw the tariffs dipping to a historically low value of Rs 2.44/kWh. This is lower than the price determined in the second auction for SECI’s 1 GW wind capacity by Rs 0.21/kWh.


The lowest tariff was quoted by Sprng Energy Pvt Ltd and K.P. Energy Ltd for capacities of 197.5 MW and 30 MW respectively.  Following graph depicts the trends followed by wind tariff in this year:



TANGEDCO, in a memo dated 15/11/2017, has released  the revised rate of power purchase with respect to the wind energy REC generators from FY 2012-13.

The On REC WEGs availed Accelerated Depreciation is as follows:


On REC WEGs not availed Accelerated Depreciation:



In the second auction conducted by SECI for 1 GW wind capacity on 4th October, the wind tariff reached an all time low of Rs 2.64 per unit. This tariff was quoted by ReNew Power for 250 MW capacity. This is the lowest wind energy tariff determined in the country after the wind auction conducted by TANGEDCO where a price of Rs 3.42 was determined. The following graph determines the decrease in wind tariffs determined through reverse bidding in 2017:

Article covering the same can be accessed here.




The Government has barred the states in India from arbitrarily cancelling PPAs and has also imposed a penalty of 50% of the tariff. This notification has come after six states in the last two months have cancelled or renegotiated PPAs signed at higher prices. This is a welcoming move as it will make sure that the renewable energy sector keeps growing and the government is able to install 175 GW renewable energy by 2022.


The article covering the same can be accessed here


In an auction held yesterday in Tamil Nadu by TANGEDCO, the latest tariff which has been determined is Rs 3.42 per unit. This is lower than the tariff determined in the auction held in February and below the tariff determined under FiT mechanism. The auction was won by ReGen Powertech, Leap Green Energy and Powertech India for 200 MW, 250 MW and 50 MW capacities respectively.

Keeping in view the recent trend of cancellation of PPAs which were signed at a higher rate, the power minister Sree Piyush Goyal has requested the state utilities to honor them as this can pose a threat to the development of the projects which have already been signed. Though this falls in line with the government’s initiative to have 175 GW RE capacity by 2022, it may also prove to be counterproductive.

The article can be accessed here.


The Andhra Pradesh Electricity Regulatory Commission has recently proposed the tariff for wind energy sources which will be applicable for the projects commissioned during FY 2017-18. The tariff will be applicable for 25 years. The details of the tariff proposed are as follows:


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The order can be accessed here.


The Maharashtra Electricity Regulatory Commission has released an order for the generic tariff for renewable energy for FY 2017-18. It specifies the terms and conditions and procedures for determination of generic tariff by the commission. The capital cost for wind energy projects has been determined on the basis of revised capital cost given by CERC. The value for capital cost is Rs 594.41 lakh/MW.

The valued for tariff decided for wind energy projects is as follows:


In the order, the capital cost for solar PV has not been determined by the CERC. Therefore, the state electricity commission determined the value of capital cost at Rs 424.74 lakh/MW. The normative capital cost for solar thermal projects is Rs 1200 lakh/MW. The table given below specifies the value of tariff for solar projects :


The order can be accessed here.

Rajasthan Proposes Wind Tariff for FY 2016-17

The Rajasthan Electricity Regulatory Commission (RERC) recently proposed the new tariff for wind energy sources, which will be applicable for the projects commissioned during FY 16-17. The tariff will be applicable for 25 years.  The details of the tariff proposed are in the table below:



Below are the some graphs on the year-wise tariff’s of CERC and RERC for wind energy and the % changes in the tariffs over the years.


Note: All figures of CERC relate to wind zone-2 as defined by CERC, and all RERC tariffs relate to Wind Power Plants located in districts other than Jaisalmer, Jodhpur & Barmer districts.

It can be noticed from the graphs above that RERC has constantly increased Wind tariffs over the last three FYs except for the current FY, while CERC wind tariffs have risen a bit in terms of %.

Rajasthan has a wind power potential of 5050 MW’s and with these tariffs proposed, it will become an attractive destination for setting up Wind projects.

The Tariff proposed by RERC can be read here.



GERC Determines Tariff for Procurement of Power from Wind Energy Projects

Gujarat Electricity Regulatory Commission (GERC) has proposed an increase in tariff for procurement of wind power. The higher tariff is on account of a rise in capital costs of setting up a wind power project in Gujarat.

GERC has come out with a draft discussion paper on tariff fixation and has invited stake holders to file objections before June 10, 2016. According to the draft paper, the capital cost of setting up a wind power project in Gujarat increased from Rs 6.06 crore per MW to Rs 6.13 crore per MW.

The graph below gives a comparison of the wind tariff determined over the few years:



Cross Subsidy Charges, Transmission and Wheeling Charges:

1.      Cross Subsidy Charges:

According to the earlier orders, the commission had exempted third party sale of wind energy from the cross subsidy surcharge. Also  the cross-subsidy surcharge all open access transactions from wind power projects.

  • 25% of the cross subsidy surcharge as applicable to normal open access consumer shall be applicable.

2. Wheeling of power for Captive Use

a. In Case of wheeling of power to consumption site at 66 kV voltage level and above, normal open access charges and losses as applicable to normal open access consumer.

b.  In case the injection of power is at 66 kV or above and drawl is at 11 kV, normal transmission charges and losses are applicable; however 50% of wheeling charges and 50% of distribution losses of the energy fed into the grid as applicable to normal open access consumers.


3.Wheeling of power to more than one locations

Wind power projects owners , who decide to wheel electricity for captive use / third party sale , to more than one location, shall pay 5 Paisa/KWh on energy fed in the grid to the distribution company concerned in addition to transmission charges and losses, as applicable.


4. Energy Metering

  • Wind projects shall have to provide ABT compliant meters at the interface points
  • Metering shall be done at interconnection point of the generator bus-bar with the transmission or distribution system concerned. Pricing of Reactive Power
  • 10 paise/kVARh– For the drawl of reactive energy at 10% or less of the net energy exported.
  • 25 paise/kVARh– For the drawl of reactive energy at more than 10% of the net active energy exported

5.Banking of Surplus Wind Energy

As promotional measure, it is proposed to continue the banking facility for 1 billing cycle for the wind power captive projects wheeling electricity for own use.

  • For captive wind energy projects, the surplus energy after one month’s banking is considered for purchase by distribution licensee at 85% of the wind tariff.
  • For third party wind energy sale, the surplus energy after 15 minutes time block is considered for purchase by distribution licensee at the rate of 85% of the tariff declared by the Commission. The order can be accessed here.
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