MPERC rejects petition to reduce Solar RPO

In a recent petition filed by MP power trading Co.Ltd , Jabalpur requesting MPERC to waive the renewable purchase obligation targets for Solar energy for FY 2011-12 and FY 2012-13. The petitioner stated that no solar power plant has been commissioned in the State of Madhya Pradesh till date hence they are not in a position to meet its solar RPO for FY 2011-12.
The important points raised by the petitioner at the hearing:

• They have signed PPA with three developers for purchase of 5.25 MW solar power and their commissioning was scheduled in April’12.
• They have executed PPA with NTPC for purchase of 50 MW Solar power which will be expected to be available by December 2013
• They have also been invited to bid for 200 MW with minimum capacity of 5MW power and request for selection (RFS) has been issued.
• Solar RECs are not available at the power exchanges.

The commission has noted that there is a substantial delay in issue of tenders after notification of the regulations and best efforts were not made by the company to procure solar power. The commission has also stated that there was a lack of confidence on the part of the petitioner company in complying with the renewable purchase obligations.
The Commission has directed that the matter to be kept pending till the bidding of 200 MW power is completed and a definitive time frame emerges for availability of solar power.
Contributed by Chetan Adhikari, Anuj Xess