RERC Draft Regulation Proposes New Norms For Green Energy Tariff

The Rajasthan Electricity Regulatory Commission (RERC) has proposed new regulations for power consumers who want to use green energy for their power needs. It comes after the Union government amended the Green Energy Open Access Rules last year. The move allowed the Open Access services to even smaller energy consumers with demands up to 100 Kilowatt (kW). 

In the latest development, the State Commission issued its draft RERC (Terms and Conditions for Tariff Determination from Renewable Energy Sources)(First Amendment) Regulations, 2023 proposing new rules on green tariffs. It asked the stakeholders and public to send suggestions to these draft rules by the end of May 26. 

These draft regulations bat for including the new provisions in the existing rules, covering power tariffs. It said that consumers could purchase renewable energy for either a specific portion of their consumption or up to 100 percent of their total consumption. It noted that for the same, the consumers could give their requisition for green energy to their discoms. 

The new regulations also mandate that the green energy consumer have to mandatorily subscribe to green energy for a minimum of one year. It also empowered those consumers to increase their purchases step-wise voluntarily. These regulations allow consumers to increase their purchases from 25 percent to up to 100 percent. 

These regulations also discussed the liability of tariff fixing and Renewable Purchase Obligations (RPO). “The tariff for the green energy shall be determined separately by the Commission through a separate order, considering various cost components of the Distribution Licensee. The green energy purchased from the distribution licensee or from Renewable Energy sources other than the distribution licensee in excess of the Renewable Purchase Obligation of the obligated entity shall be counted towards RPO compliance of the distribution licensee,” the RERC draft regulations read. 

These rules also said that the accounting of renewable energy supplied at the distribution licensee level would be monthly. The new rules also talked about the issue of Green Certificates to such consumers who would opt for green energy. The Commission has put the onus of the certificate to the local discoms. 

“The distribution licensee shall give green certificate yearly to the consumers for the green energy supplied by the licensee to the consumer on his request beyond the renewable purchase obligation of the consumers,” the draft regulations said.