MPERC issues fresh directives on RPO compliance

Electricity regulatory commission of Madhya Pradesh,  in a fresh directive has ordered all DISCOMs of the state to comply with RPO. Owing to unavailability of information on power purchase from renewable sources by DISCOMs, the commission clarified that it was not in a position to include its effect in recent orders. However, in this fresh directive, MPERC has come up explicitly mentioning that any variation in power purchase costs will be considered and correspondingly accounted for in the true-up exercise.

This directive reads as –

“RPO compliance:
Directive: The Commission has notified regulation for Renewable Purchase Obligation
(RPO), effect of which on power purchase has not been considered by the Commission
in the present order as the petitioner has not filed any availability of power from
renewable sources. However, the petitioner is directed to ensure RPO compliance for
FY 2013-14 as per RPO Regulations and any variation in power purchase costs will be
considered during true-up exercise.”

MP plans to meet its RPO obligation completely by the end of FY15 by purchasing 2500 MW as per an article in a Hindi Daily. For compliance of RPO by the end of FY14, MP will need 14 Lakh non-solar RECs and 2,55,000 solar RECs.

For a copy of the relevant order click here.