Solar Power Generator's Request for Exemption from Wheeling Charges Rejected by Rajasthan Electricity Regulatory Commission

2023-04-28 16:25:11 By : admin
and Rajasthan Electricity Regulatory Commission.

In recent years, India has emerged as one of the fastest-growing solar markets worldwide, and Rajasthan, with its abundant sunshine and favorable policies, has been at the forefront of this growth. The state was the first in the country to introduce a solar policy back in 2011, and since then, has been aggressively promoting the adoption of solar power through various incentives and schemes.
Solar Power Generators Plea Regarding Payment of Wheeling Charges Rejected - Mercom India


One of the key drivers of this growth has been the availability of inter-state transmission through the national grid, which allows solar power generators in Rajasthan to sell their excess power to other states. However, this transmission comes at a cost, known as wheeling charges, which are a fee charged by the state transmission utility for the use of its transmission lines.

In a recent news story, a solar power generator in Rajasthan had filed a petition with the state's electricity regulatory commission, seeking exemption from paying these wheeling charges. The generator had argued that since it was exporting power to other states, it should not be required to pay these charges, which would increase its cost of production and make it uncompetitive.

However, the Rajasthan Electricity Regulatory Commission (RERC) rejected the petition, stating that it was not within its jurisdiction to waive these charges. The commission noted that the charges were levied by the state transmission utility and regulated by the Central Electricity Regulatory Commission, and any change to the policy would require the approval of the latter.

This ruling has been a setback for solar power generators in Rajasthan, who had been hoping for some relief from these charges. However, it highlights the complex regulatory environment that surrounds the deployment of renewable energy in India, with numerous authorities and agencies involved in the process.

Despite this setback, the future of solar power in Rajasthan remains bright, with the state government continuing to offer various incentives and support schemes to promote its adoption. One of the most significant initiatives has been the introduction of solar parks, which offer a one-stop solution for developers by providing land, transmission, and other infrastructure.

Several such parks have already been established in Rajasthan, with a total capacity of over 1.5 GW. These projects have been instrumental in attracting private investment in the sector and creating local employment opportunities.

In conclusion, while the rejection of the petition by the RERC is a setback for solar power generators in Rajasthan, it does not diminish the state's status as a leading solar market in India. With its abundant sunshine, favorable policies, and innovative initiatives, Rajasthan is well-positioned to continue its growth trajectory in the future, providing clean and affordable energy to its people while contributing to the nation's climate goals.