MNRE lays fresh guidelines for selection under JNNSM, Phase-I, Batch-1

MNRE has issued new guidelines for selection of new Grid-connected Solar Power Projects under JNNSM, Phase-I, Batch-1. MNRE has included new guidelines as well as modified a few old ones.

Previously, while commisioning the Solar PV projects, in case if the developer opted for recovery in installments, the accrued penalty amount had to be payed in 30 equal installments on monthly basis/ recovered from the payments that become due to the developer against the supply of the solar spower from the project to NVVN during that month till the penalty amount is recovered fully. But now, according to the new arrangements, in case the developer opts for recovery in installments, the accrued penalty amount will be payable in 30 installments on monthly basis/ recovered from the payments that become due to the developer against the supply of the solar power from the project to NVVN during that month till the penalty amount is recovered fully. NWN may make installments in such a manner that full amount is recovered from the dues to the developer within 30 months. In case the dues to the developers are less than the amount to be recovered, the recovery may be extended beyond 30 months.

Before present, according to the guidelines, if the project was not not commissioned within a period of 30 months from the date of signing of PPA, the PPA was terminated and the Project was removed from the list of selected Projects. However,as per the new guidelines, if the project does not get commissioned within a period of 30 months from the date of signing of PPA, the PPA will be terminated and the Project will be removed from the list of selected Projects. For the period of 18 months from the date of PPA signing, encashment of bank guarantees and the imposition of liquidated damages will be governed by the original provisions in the guidelines dated 25/7/2010, but for the extended period beyond 18 months, liquidated damages might be imposed only on the un­commissioned capacity.

Also, a new provision for excess generation for Solar PV projects has been added. Now, the limiting factor for excess generation will be the declared and agreed CUF. Any energy generated in excess of the maximum CUF limit specified in PPA will be purchased by NVVN at APPC rate or Rs.3/-per unit, whichever is lower, subject to the concerned utility's willingness to purchase the power.

The developers can sell the solar power generation in excess of the maximum CUF limit in the PPA to third party through long term PPA, short term sale or through exchange. They can even earn RECs on it if permissible. This will, however, be subject to the condition that NVVN has the first charge on generation to the extent of CUF agreed in PPA.

The guidelines has also included new provision for excess generation for Solar thermal projects. Similar to Solar PV projects, the limiting factor for excess generation of Solar thermal projects will also be the declared and agreed CUF. Any energy generated in excess of the maximum CUF limit specified in PPA will be purchased by NVVN at APPC rate or Rs. 3/- per unit, whichever is lower, subject to the concerned utility's willingness to purchase the power. The developers can sell the solar power generation in excess of the maximum CUF limit in the PPA to third party through long term PPA, short term sale or through exchange. They can even earn RECs on it if permissible. This will, however, be subject to the condition that NVVN has the first charge on generation to the extent of CUF agreed in PPA.

Alteration has been made in the provisions for the use of DG sets. Formerly, the guidelines indicated that, no DG Sets would be permitted for Black Start up of the plant. This arrangement would be required to be made by the Project Developer with the State in which the Plant is located.

The new the amendment states that, Solar Thermal power developers may install DG set of up to 625 KVA capacity for solar thermal power plants up to 50 MW capacity and of up to 1250 KVA capacity for solar thermal power plants up to 100 MW capacity, for black start and other emergency purposes. However, the SPD will have to make proper arrangements for metering of the electricity generated through DG set and also maintain a log of its operation. The related records should be produced by SPD for inspection by a Committee that may be constituted by MNRE.

 

Policies & Regulations | News published on 25/03/2014 by Rashmi Nargundkar

 
 
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