GOVERNMENT OF MADHYA PRADESH

Transcription

1 206 Compendium of State Government Policies on Renewable Energy Sector in India GOVERNMENT OF MADHYA PRADESH Wind Power Project Policy of Madhya Pradesh, 2012 (As Amended on 21 st February 2013) 1. Order Notified in Gazette in Hindi vide notification 44 dated 30 th January, 2012 and 80 dated 21 st February, Title Wind Power Project Policy of Madhya Pradesh, 2012 (as Amended on 21 st February 2013) 3. Operative Period From the date of notification in MP Gazette Projects allotted/to be allotted/to operate on Build, Own and Operate (BOO) basis. BOO period, to be of 25 years from COD or the life of the project whichever is earlier. After completion of this period Govt. to consider about renewal of the project. 4. Definition for Wind Power Project Generation of power by setting up of one or more than one wind turbine generator are called the wind power projects under this policy. 5. Participation Any individual / firm / society / organization / registered company are eligible to apply for development of the project. 6. Project Allotment Process Department to invite proposals for project allotment, normally twice in a year. Applicant may apply to set up the project on Govt./Pvt. Land. Data of the sites where department has installed Wind monitoring bars for setting up of Wind power plants to be available to the applicants. If more than one developer apply for same project site on Govt. Land, the project is allocated through competition basis. Premium amount shall be basis for competition for which bids shall be invited. No applicant shall be eligible to apply for more than 100MW against one time advertisement on Govt. Land. Projects shall be allocated to applicants on Pvt. Land in accordance with their proposal. Applicant to ensure that Wind turbine generator being installed at the project site are technically safe distance from the other nearest previously identified/installed Wind turbine generators. 7. Development of Project LOA to be issued within 15 days of selection of developer. Developer to give his consent within 30 days of LOA and deposit with the consent letter a processing fee of Rs.50000/- per MW or per MW rate decided by the Govt. from time to time. Developer to deposit the performance guarantee to ensure timely installation of the project on Govt. Land and deposit performance guarantee in 2 stages. 1 st stage guarantee to Rs.1.00 Lac per MW or the amount as decided by the Govt. and to be submitted within 60 days of issue of LOA. 0.5% of the total cost of the project to be deposited as the 2 nd stage of the performance guarantee within 30 days of financial closure of the project. Guarantee amount may be in the form of Bank Guarantee, Demand Draft or FD Receipt. Performance guarantee of both the stages to be valid for a period of 6 months from date of commercial operation of entire project. For change in the above time limits action shall be taken with the permission from department. Performance guarantee to be released after 3 months from the date of commercial operation of installed capacity of the approved project. Selected developer to execute Wind power development agreement (WPDA) within 30 days of depositing Performance guarantee of 1 st stage and within 60 days of issue of LOA. Developers to bear all the expenditure from its own resources made on survey and investigation and preparing Techno Economical Feasibility Report (TEFR) or its investigation.

2 Compendium of State Government Policies on Renewable Energy Sector in India Permission for Land use 9. Grid Interfacing and Evacuation Arrangements Implementation of project proposed on pvt. Land to be completed within the timeline specified in the policy. If the project is implemented after the specified time limit, the incentives mentioned in the policy will be limited to the extent of the specified time limit. Approval and Clearance of the Project: Developer to obtain necessary approvals after execution of WPDA and complete DPR and financial closure of the project within the period of maximum 18 months. Developer to ensure commercial operation of 50% project capacity within 28 months and complete project capacity within 36 months from date of execution of WPDA. In case the time limit is extended further then the above time limit shall be deemed to have been increased accordingly. Progress of the project: developer to submit quarterly progress report in the prescribed format along with relevant documents from the date of commencement of WPDA till the date of commercial operation of the project. In case of delay for adhering to the time limits and benchmarks of this policy and explanation for delay not found satisfactory, project shall be cancelled at any stage. In case of availability of Govt. Land for the project, permission to use the land to be provided for establishing aero-generator on the basis of foot prints, approach road upto the aero-generator, transmission lines, substation and other affiliated uses on the basis of actual use of land for the project. Measurement of land required to be based on footprint determined by the Govt. Terms and conditions laid down by revenue department, GoMP circular no. F-16-14/2013/Seven/Gov.2A dated shall be applicable for permission to use the Govt. revenue land. If Govt. Land is used by the developer for any other purpose the permission shall be cancelled and land to be returned back to revenue department. Any construction / plant constructed by the developer on the land shall also be seized / confessticated. Inspection of land can be done by any authorized person of the state Govt. to ensure that land is not been used for any other purpose. Permission for use of Govt. Revenue land to be provided by New & Renewable Energy Department. If the developer wants to transfer the land to any third party, the permission for land use could be transferred by New & Renewable Energy Department. For use of forest land guidelines issued by Forest Conservation Act 1980, rules issued by Ministry of Forest & Environment, GoI and the state government shall be applicable. Project installation on land owned by scheduled tribes may be done as per provision of Madhya Pradesh Land Revenue Code and other provisions only under exceptional circumstances and with mutual consent and agreement. Prime land institution shall have the right to substitute the developer for land use permission during the loan period. Interfacing arrangements including the associated switchgear at the generating station and to the receiving point, shall be the responsibility of the Developer. Developer to fulfill the technical and safety parameters in accordance with MP Grid Code, MP Electricity Supply Code, 2004, MPERC and CERC regulations. In case MPPTCL / Discom may take up the work and maintain the same on cost basis, the same to be borne by the developer. Decision of MPERC in this regard shall be final. Developer is free to construct his own dedicated transmission lines from the point of generation to the point of consumption of the energy. He shall also have the right of open access for existing transmission facilities of the state as per Electricity Act Developer to sign the wheeling agreement with MPTCL / related Discom. In case, developer sells power to third party consumers / licensees/ Power Trading Company, then it shall be bound for payment of wheeling and transmission charges to MPTCL/Distribution Company, the final decision would vest with MPERC. Metering equipment, as specified by MPPTCL / respective Distribution Company to be installed at generation site / consumption site in accordance with the provisions of MPERC regulations on metering and MP Electricity Supply Code, 2004 at the cost of the developer. Any official of the MPPTCL/respective Distribution Company may inspect the same.

3 208 Compendium of State Government Policies on Renewable Energy Sector in India 10. Sale of Power IPP can sell the entire power generated. Surplus Power of CPP may be sold to any consumer/ Distribution companies / Power trading Co. (PTC) MP Power Trading Company to have the first right of purchase of electricity generated from the project installed entirely or partly on Govt. Land. Developer to take necessary approvals from MPERC before presenting the PPA for signing. Power generated from Wind energy to be sold at the rates decided by MPERC. Tariff determined by transparent bidding process as per guidelines issued by Central Govt. which should not exceed the rates prescribed by the commission shall be acceptable to the commission. If the units takes reactive power in the project charges shall be payable at the rates determined by MPERC. Developer may sell power generated in accordance with REC mechanism. 11. General Provisions Developer to ensure that minimum average of the project CUF (Capacity Utilization Factor) must be 20% in block of 3 years from the date of COD. In case, CUF is less than 20% project can be cancelled in absence of satisfactory reasons. Developer to follow current guidelines for implementation of wind power project issued by New & Renewable Energy Dept., GoMP and MNRE. Developer shall have to use the latest model of Wind turbine as per the current guidelines of the MNRE. Projects registered/approved at identified sites under the former policy which have not yet started commercial production, can be migrated in this policy. Migrated developers to submit the revised implementation schedule according to the provisions of new policy and consent letter within 2 months of notification of this policy. Project allotment on the project sites for whose registration applications are pending under the former policy can be provided on the basis of consent for provisions of this policy. Developers to submit their consent within 2 months of the notification of this policy. Developers to proceed on the project including the performance guarantee as per the provisions prescribed in the policy from the date of submission of consent letter. In case developer fails to submit consent letter, their application, registration and approval will be deemed to be cancelled. Developers whose site has been allotted for wind monitoring under former policy and those who have applied for Wind monitoring at identified sites shall be migrated in this policy. Developers to submit their consent within 2 months of the notification of this policy. Then on migration the project shall be deemed allocated under the provision of this policy else said proposal of wind monitoring shall be treated as cancelled. From the date of submission of consent the developer shall have to comply the provisions of the policy including performance guarantee. There will be options to convert IPP into CPP and vice versa with the permission in accordance with guidelines of MPERC. 12. Inspection of Project Authorized officials of State Govt. to have the right of inspection of power project. Developer to render all requisite help and assistance. Developer to maintain all records regarding power generation and make available to inspecting authority. After completion of COD of the project, developer shall submit monthly data of energy generated from the project that are used for billing to the Govt. 13. PPA As per MPERC guidelines developer shall be allowed to change the option for energy sale from any third party consumer to licensee and from one third party consumer to other third party consumer. The process prescribed for purchase of power under the regulations issued by MPERC Cogeneration and generation of electricity from RE sources of energy (Revision-I), Regulations 2010 must be followed.

4 Compendium of State Government Policies on Renewable Energy Sector in India Surrender of the Project After execution of the agreement, developer is free to surrender the project but performance guarantee shall be forfeited. Developer to return the project site to the state Govt. If the project could not be setup due to circumstances beyond the control of the developer, the performance guarantee shall be released. 15. Incentives and General No energy cess shall be payable on the power supply by Wind power projects. Projects implemented under this policy to receive status of industry and shall be eligible for all the incentives provided under Industrial Promotion Policy of State Govt.. In case of contradiction between the provisions of this policy and Industrial Promotion Policy, then provision of this Policy shall be applicable. Industrial consumers opting to buy energy from Wind power projects to be provided facility of corresponding reduction in contract demand on permanent basis. Decision of MPERC shall be final in this regard. For captive consumption and third party sale, all projects shall be exempted from electricity duty for a period of 10 years. In case of power consumption for self use / sale of power to third party, MPPTCL or related Discom shall facilitate wheeling of power at the rates prescribed by MPERC. In case of power sale to third party within the state, the related Discom shall avail wheeling grant at the rate of 4% from the state Govt. Developer to have option to upgrade the previously installed project with advance WTG. For this developer have to get the upgraded project registered with the Govt. Developer shall be free to install low capacity Wind turbine generator / Wind Solar hybrid plant (upto 100 KW) on the roof of his house or at private site/land after getting the scheme registered. Registration shall be free of cost and other binding provisions of this policy shall not be applicable for such schemes. Developers who do not want advantages under the provisions of this policy shall be allowed to install the project without taking any of the above mentioned permissions under the EA Act 2003 (no. 36 of 2003). Govt. may acquire the project if necessary in public interest. Notwithstanding anything incorporated in the policy, the provision of EA 2003 and the orders of MPERC shall be applicable for the implementation of this policy. Projects applied/registered under former energy policy 2006, the implementation of which has been cancelled due to some reasons or such developers, if apply for setting up of the project will be addressed at the Govt. level and in case of settlement, project be migrated under this policy. Developer be eligible for 50% exemption on stamp duty on purchase of pvt land for the project. If the project is not installed on this land, the exemption shall be taken back and action for recovery shall be taken. 16. Third Party Sale Eligibility for third party sale shall be in accordance with Electricity Act 2003 and orders / regulations issued by MPERC in this regard. 17. Banking Allowed 100% of energy every financial year subject to the following conditions; Developer has to pay 2% of the Banked energy as Banking Fee to concerned State Distribution company/state Power Trading Company. Return of the Banked energy to be in accordance with regulations issued by MPERC {Cogeneration and generation of electricity from RE sources of energy (Revision-I), Regulations 2010} and the regulations issued by MPERC from time to time. Balance energy, if any, at the end of the financial year to be purchased by the concerned State Distribution Company/State Power Trading Company as per the directions of the MPERC. 18. Carbon Credits Carbon credits or any other similar incentives which are available for such Wind power project shall be made available to the developer as per guidelines issued by MPERC.

5 210 Compendium of State Government Policies on Renewable Energy Sector in India 19. Evacuation of Power Evacuation of power generated from projects upto 15MW capacity shall be carried out on 33kV lines to the nearest 33/11kV substation. If the developer provides the evacuation, the substation may be kept free from power cuts. 20. VAT / Entry Tax Exemption from VAT / Entry Tax for Wind power plants be available in accordance with MP Govt. Gazette (extraordinary) notification no. 380 dt Implementation of the Project 22. Purchase of Power under REC Mechanism by MPPMCL The cases relating to difficulties in smooth implementation of the project and to resolve interdepartmental coordination issues, be presented before PCIB constituted under the Chairman Chief Secretary. Total or balance energy (left after third party sale/captive use) generated to be purchased under REC mechanism on APPC rate. MPPMCL to enter into PPA for purchase of energy under REC mechanism on the following conditions: Developers to submit performance Rs.7.5 Lac per MW at the time of execution of PPA. Guarantee shall be in form of irrevocable bank guarantee and will be released after 3 months of COD. In case of delay in commercial production, penalty to be imposed on daily basis and performance guarantee to be payable to Dept. of New and Renewable Energy as per their policy will be not payable in this case. During the agreement period, complete or part of the capacity for which the agreement is executed cannot be sold to any party by developer without prior consent from MPPMCL. Otherwise, this should be treated as violation of PPA and state govt. will have right to withdraw incentives including land made available under policy of New & Renewable Energy Department for setting up of the projects. In case of sale of total / part of power to third party with consent from MPPMCL, developer to pay MPPMCL for the energy sold at half rate of difference of third party sale and prevailing APPC rate of MPPMCL for that year, on monthly basis.