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Surplus solar power by Gujarat discoms to be compensated at Rs 2.25/kWh

2021-06-17

The Gujarat Electricity Regulatory Commission (GERC) allowed a petition seeking amendments in the tariff framework to procure solar power by distributing companies (discoms) and others. It passed out orders regarding the surplus solar power by micro, small, and medium enterprises (MSMEs).

Gujarat Urja Vikas Nigam (GUVNL) filed the petition, requesting amendments in the GERC Regulations, 2016.

GERCs, in their industrial policy in August 2020, announced that the solar project set up by the MSMEs with more than 50% of its contracted demand has increased its power consumption cycle from a 15-minute time block to 7 am to 6 am. The consumer will get time from 7 am to 6 pm to consume the solar energy, and the rest is banked. Earlier, in the 15-minute block energy, the energy which remains unconsumed had to be banked.

discoms will purchase any surplus solar energy unconsumed by the consumers, as per the energy accounting at Rs 2.25 per kWh instead of Rs 1.75 per kWh.

The GERC approved a switchover option for MSME projects approved before September 2019 to the mechanism mentioned in September 2020.

Gujarat has been making many amendments to encourage MSMEs solar project. In the year 2019, the government allowed MSME to install solar projects which are more than 100% of their contract demand. Later it allowed third-party open-access power by MSMEs by paying 100% of the cross-subsidy surcharge and additional surcharge to open access consumers.

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