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Central Government Amends Guidelines for Early Power Supply in Wind Projects

The original guidelines, published on 26th July 2023 had set the framework for tariff-based competitive bidding in wind power projects.

November 21, 2023. By News Bureau

In a significant development for the renewable energy sector, the Central Government has announced an amendment to the Guidelines for Tariff-Based Competitive Bidding Process for the Procurement of Power from Grid-Connected Wind Power Projects. 
 
The original guidelines, published on 26th July 2023 had set the framework for tariff-based competitive bidding in wind power projects. The recent amendment focuses on Clause 14.4 of the existing guidelines.

Under the amended Clause 14.4, Wind Power Generators (WPG) are now permitted to commence the supply of power from both full and part capacity of the project even before the Scheduled Commercial Operation Date (SCOD). 
 
This is subject to the availability of transmission connectivity and Long-Term Access (LTA)/General Network Access (GNA). Developers are required to provide a fifteen-day advance notice to both End Procurer(s) and Intermediary Procurer regarding the advance commissioning of full or part capacity. 
 
The End Procurer(s) and Intermediary Procurer must then give their acceptance for availing such power within 15 days from the date of service of the notice.
 
In cases where acceptance is not received within the stipulated period, developers have the flexibility to sell the unaccepted power either on power exchanges or through bilateral arrangements. However, if both the End Procurer(s) and Intermediary Procurer accept the power, priority will be accorded to the End Procurer(s) in availing the supply.
 
The tariff payable by both the End Procurer(s) and the Intermediary Procurer, in such cases, will be equal to the Power Purchase Agreement (PPA) tariff.
 
This amendment is expected to enhance the operational efficiency of wind power projects, promote early utilization of capacities, and provide a more flexible framework for power procurement in the renewable energy sector.
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