KErala StatE ElECtriCity regulatory CommiSSion (Renewable Energy) Regulations, 2015.

Transcription

1 Compendium of Regulations & Orders Issued by Regulatory Commissions for Sources in India 279 KErala StatE ElECtriCity regulatory CommiSSion () Regulations, Sl. Description No. 1. Title, Extent and Commencement NOTIFICATION- No.442/CT/2015/KSERC Dated 11 th November, 2015 Summary Kerala State Electricity Regulatory Commission ( Regulations), 2015 Dated 11 th November, Regulations shall extend to the whole State of Kerala. It shall come into force at once. 2. Definitions As per Regulations 3. Obligation to (i) Distribution Licensee; Purchase (ii) Buyer Licensee; (iii) Captive Consumer; and (iv) Open Access Consumer 4. RE Purchase Obligation(RPO) of Distribution/Buyer Licensee Not less than 4.5% of the total consumption of energy within its area of license, during the financial years (FY) commencing from , with an annual increase of 0.5% per year until RPO reaches 10% of the total consumption of energy to its consumers during a FY provided the Electricity generated by the licensee from RE sources and supplied to its consumers to be accounted towards its RPO Quantum of electricity generated by any prosumer who is not an obligated entity using off grid RE system and consumed by him within the area of supply of a licensee, shall also be accounted towards RPO of the licensee, if the licensee pays to the prosumer, the GBI at the rates approved by the Commission Quantum of electricity generated by a prosumer who is an obligated entity, using off grid RE system and consumed by him in excess of his RPO may be accounted towards the RPO of a licensee, if the licensee pays to the prosumer for such excess consumption of electricity, the GBI at the rates approved by the Commission Quantum of electricity generated by a person who is not an obligated entity using grid interactive RE system may be accounted towards the RPO of a licensee, if licensee,- (i) purchases such electricity at preferential tariff; or (ii) affords to such person the benefit of banking facility for the renewable energy banked by him. Quantum of electricity generated by a person who is an obligated entity, using grid interactive RE system and consumed by him in excess of his RPO, may be accounted towards the RPO of a licensee, if licensee affords to such person, the benefit of banking facility for such excess consumption of electricity. Buyer licensee shall not have separate obligation for RE purchase if,- (i) Seller licensee meets the RPO for the energy sold to the buyer licensee also; and (ii) Buyer licensee reimburses, as approved by the Commission, to the seller licensee the additional cost incurred by the seller licensee for generation/purchase of RE to meet RPO of the buyer licensee. RE generated from solar/purchased from solar energy generators by the licensee to be not less than ten percent of its RPO. the concerned licensee as per the existing PPA. Purchase of RE under PPA entered into by the licensee and approved to by the Commission, shall not be terminated till the expiry of the validity of PPA, only on the ground that the total quantity of RPO including the quantity of RE

2 280 Compendium of Regulations & Orders Issued by Regulatory Commissions for Sources in India 5. RPO of the Captive Consumer 6. RPO of the Open Access Consumer 7. Preference for the Purchase from the Generating units within the State 8. Purchase of Certificates under REC Regulations 9. State Agency and its Functions purchased under such agreements exceeds the RPO of the licensee. Licensee to submit to the Commission, proposed quanta of purchase of RE from the solar/non-solar sources separately in its application Every captive consumer, to purchase RE, not less than 4.5% of its total captive consumption of electricity generated except from RE sources/cogeneration process, during the financial years commencing from , with an annual increase of 0.5% per year, until the RPO reaches 10 % of such captive consumption for a FY provided the RE, if any, generated and consumed by the captive consumer to be accounted towards its RPO RE generated and consumed from solar sources or purchased from solar energy generators by the captive consumer to be not less than 10 % of its RPO. the captive consumer as per the existing PPA. Every open access consumer shall purchase RE, not less than 4.5 % of the energy availed by it through open access during the FYs commencing from , with an annual increase of 0.5 % per year, until RPO reaches 10% of the total energy availed by it through open access during a FY provided the RE, if any, generated and consumed by the open access consumer to be accounted towards its RPO. RE generated and consumed from solar sources/purchased from solar energy generators by the open access consumer to not be less than 10% of its RPO. the open access consumer as per the existing PPA Every obligated entity shall purchase quantum of RE required to meet its RPO preferentially from the RE generating units within the State with priority for purchase from the RE generating units which commenced commercial operation earlier Provided the Commission may direct any entity by order, to purchase RE generated from municipal Solid Waste in preference to RE generated from other sources. If any obligated entity fails to satisfy fully its RPO during any FY, it shall purchase certificates to make good such short fall. Subject to the terms and conditions in these regulations, the certificates shall be the valid instruments for the discharge of the mandatory RPO of an obligated entity. If quantum of RPO from solar sources falls short of its solar RPO during any financial year, entity to purchase solar certificates and from other than solar sources from non-solar/ solar certificates to make up for shortfall. Subject to such direction as the Commission may give from time to time, the obligated entity shall also be bound to act consistent with the provisions of the REC Regulations for the procurement of the certificates for fulfillment of RPO. The obligated entity shall deposit with the Commission the certificates purchased by it from the power exchange with a report on the compliance of its renewable purchase obligation. A State Agency for accreditation and recommending of RE projects for registration and for undertaking the functions under these regulations to be designated by the Commission. State Agency shall function in accordance with the directions issued by the Commission and shall be guided by the procedures and regulations specified by the Central Agency for discharge of its functions under the REC Regulations. If the Commission is satisfied that the State Agency is not able to discharge its functions satisfactorily, it may designate any other agency to function as State Agency

3 Compendium of Regulations & Orders Issued by Regulatory Commissions for Sources in India Effect of Default The obligated entity, which does not fulfill during any year, the RPO and does not purchase the certificates to deposit such amount as the Commission may determine into a separate fund to be created and maintained by entity, as per directions issued by the Commission. Fund so created to be utilized as per directions of the Commission for purchase of certificates/for promoting RE within the State. Commission may authorize the State Agency to procure out of the amount in the fund, the required number of certificates from the power exchange, to make good the shortfall in the RPO of such entity. The failure of any obligated entity to deposit the amount in the fund within thirty days from the date of communication of direction, shall be deemed to be breach of conditions of its license and liable to be proceeded against under Section 142 or such other provisions of the Act and the regulations made there under. 11. Grant of Permission to carry forward the short fall in RPO 12. Generation Based Incentive (GBI) For any genuine difficulty, the obligated entity may apply to the Commission for permission to carry forward to the next FY, the short fall in its RPO. Commission to issue orders on application within sixty days from the date of receipt of application: In case Commission grants permission to carry forward to the next FY, the short fall in its RPO during that FY, no proceedings to be initiated against such obligated entity under Section 142 or such other provisions of the Act and the regulations made there under. Distribution licensee to pay, as ordered by the Commission, the GBI to the prosumer for the electricity generated by him using off grid RE system at the rates determined by the commission. 13. Banking facility Allowed on application by a prosumer to the Distribution Licensee 14. Benefits under REC As per REC Regulations 15. Norms for determination of Commission to notify the principles, norms and parameters for determination of tariff for the electricity generated from various categories of Renewable Energy sources for each control period Till time these are specified, the principles, norms and parameters specified in CERC (Terms and Conditions for Determination from Sources) Regulations, 2012, as amended, may be adopted by the Commission for the purpose of determination of tariff under these regulations. 16. Control Period Five years w.e.f. FY Norms for determination of tariff for the electricity generated from each category of RE source to remain valid during the control period. On completion of every control period, Commission may by notification, revise the norms for determination of tariff. Existing norms to continue in force till they are revised. 17. Preferential / Generic Commission may, notify preferential tariffs applicable to the electricity generated from various categories of renewable sources of energy, either as generic tariff or as project specific tariff Generic tariff to be on levelised basis for the useful life of the project and applicable to the projects commissioned during the financial year for which the generic tariff is determined Commission shall, for the purpose of sale of electricity from each category of RE source, fix the tariff period in respect of the generic tariff, determined as per these Regulations, for minimum duration as specified under: SHP (Below 25 MW) -25years Solar (PV &Thermal) -20years Bio Mass Gasifier/ Bio Gas Based Power Projects-15years Other RE Projects-13years period to be computed from COD

4 282 Compendium of Regulations & Orders Issued by Regulatory Commissions for Sources in India Generic tariff for wind energy projects to be determined separately for Wind zone I,II and III, as classified by the National Institute of Wind Energy from time to time 18. Useful Life SHP -35years Wind -25years Solar PV -25years Other RE Projects- As determined by the commission 19. Procedure for determination of Generic 20. Project Specific 21. Normative Parameters and for RE projects Commissioned during FY and Effect of Financial assistance on the Commission may, suo motu, determine for each FY in a control period the generic tariff for the electricity generated from each category of renewable source of energy. For more Details refer Regulations Commission may, on application from the project developer, determine by order, the project specific tariff for the electricity generated from the following categories of RE projects in accordance with the principles, norms and parameters specified or adopted by the Commission in these Regulations and as per the Kerala State Electricity Regulatory Commission (Terms and Conditions for Determination of ) Regulations, 2014,- Municipal solid waste project; and Any other projects as decided by the Commission period for project specific tariff, to be specified by the Commission in the tariff order. For more Details refer Regulations Notwithstanding anything contrary contained in these regulations, the normative parameters, the generic tariff and the tariff period applicable to the RE projects commissioned during the financial years and to be as specified in the Annexure A to L (of Regulations) for various categories of RE Projects Commission while determining the tariff, make appropriate adjustments for financial assistance such as capital subsidy /accelerated depreciation/ concessions in duties and taxes, if any availed by the project developer for the implementation of project. Developer to submit to the Commission along with the application for approval or determination of tariff, all details relating to such financial assistance availed by him for the implementation of the project 23. Open Access Any person generating electricity from RE of energy shall have access to the transmission system of the State Transmission Utility and T&D system of any licensee in the State Facility to consume Electricity generated by a prosumer above 1 MW capacity and injected into the Grid Facility to prosumer on application to the distribution licensee to consume such electricity injected into the grid of the licensee during the settlement period specified below: Time zone of injection of renewable energy to Grid Quantum of renewable energy injected (kwh) Quantum of electricity allowable for consumption(kwh) Normal Hours Peak Hours Normal hours Peak Hours Off-Peak Hours

5 Compendium of Regulations & Orders Issued by Regulatory Commissions for Sources in India Accounting and Settlement of RE 26. Security Mechanism for P urchase of 27. Power to Review RPO and matters incidental thereto. 28. Sharing of CDM Benefits 29. Effect of Termination of PPAs before the Expiry of Agreement Period 30. Power to Remove Difficulties 31. Repeal and Savings For solar/other than solar electricity generated using a grid interactive solar energy system of capacity 1 MW and below injected into the grid of the licensee by a prosumer who is availing banking facility as per regulations 14 and 15/ methodology and procedure as specified in regulations 14 and 15 of Kerala State Electricity Regulatory Commission (Grid Interactive Distributed Solar Energy Systems) Regulations, 2014 For those not availing banking facility to be done in accordance with the methodology and procedure approved by the Commission based on the proposal submitted by the licensee. Obligated entity to provide adequate payment security mechanism for purchase of renewable energy. If obligated entity defaults in payment for the purchase from any generating unit, with which it has entered into PPA, such generating unit shall be at liberty to sell, at the risk and cost of the defaulting obligated entity, the renewable energy to any other person and to avail open access for that purpose Commission may review once in three years 100% of the gross proceeds on account of CDM benefit to be retained by the project developer in the first year after the date of commercial operation of the generating station. In the second year, the share of the beneficiaries shall be 10% which shall be progressively increased by 10% every year till it reaches 50%, where after the proceeds shall be shared in equal proportion by the generating company and the beneficiaries. In case, an agreement for the purchase of electricity from a RE project is terminated before the expiry of the agreement period, the generator or purchaser shall not be eligible for any incentives under these regulations till the date of expiry of original period of the PPA/till the completion of three years from the date of termination of PPA whichever is later. Vested with the Commission I. The following regulations are hereby repealed; (i) KSERC (Power Procurement from Solar Plants by Distribution Licensees) Regulations, 2008; (ii) KSERC (Renewable Purchase Obligation and its compliance) Regulations, 2010; (iii) KSERC (Power Procurement from Renewable Sources by Distribution Licensees) Regulations, 2013; II. Notwithstanding such repeal, anything done or any action taken under the said regulation shall be deemed to have been done or taken under the corresponding provisions of this regulation.