Under Ease of Doing Biz prog, MoP unlocks ₹400 cr for RE developers

The central government has launched a Regulatory Compliance Portal, an online repository of all central- and state-level compliances, to reduce the regulatory compliance burden of citizens and businesses operating in the energy industry, including renewable power.

During 2021, the Ministry of Power (MoP) eased compliances related to seventy-nine issues affecting the industry and its consumers. The Ministry has now started a fresh exercise for 2022 and has prepared an Action Plan for 2022 under two phases: The first phase will continue till 31st Mar, 2022 while the second phase will continue till 15th Aug, 2022.

Union Minister of Power Mr. R.K Singh recently reviewed Action Plan, 2022, of MoP and its sub nodal organizations (SNOs), i.e. BEE, CTU, POSOCO, CEA and CERC.

A few significant initiatives taken by these MoP organizations are as follows:

• The Bureau of Energy Efficiency (BEE) has simplified the implementation of the Standards & Labelling (S&L) program. It has also introduced Digitalization and Online tracking of status of application for manufacturers. A helpdesk has also been created to resolve grievances of Designated Consumers (DCs). In the second phase of the Action Plan for 2022, BEE also plans to introduce QR code-based labels to strengthen star labelling and also to bring transparency for consumers, extend the validity of ESCerts till the date it is traded, and introduce online reporting of energy and production-related data under PAT (Perform, Achieve and Trade).
• The Central Transmission Utility (CTU) has eased Connectivity Bank Guarantee under revised RE procedure, unlocking about Rs. 400 Cr for RE Developers. Further, CTU has made available an alternate mode of Payment for avoiding BG Encashment for RE Developers. About 240 existing transmission lines have been made Go-Live on PM Gati Shakti Portal. This is expected to help in better planning and approval for new transmission lines.
• The Power System Operation Corporation (POSOCO) has enhanced the Validity of registration for REC from 5 years to 10 years. National Open Access Registry (NOAR) is to be launched to facilitate single point access to stakeholders for approval for transacting power. NOAR will be integrated with Single Window System. POSOCO has formulated a ‘Procedure for STOA in Interstate Transmission through NOAR’ to facilitate seamless and quick implementation of web-based processing of pan India Open Access Transactions.
• Central Electricity Authority (CEA) has abolished furnishing of various formats related to Filing of Statistics, Returns and Information; and amended the regulations related to Safety Requirements for Construction, Operation and Maintenance of Electrical Plants and Electric Lines in the first phase of the 2022 EoDB-RCB exercise. Many reports published by CEA were also made available online. In the second phase, CEA will take feedback from industries/ stakeholders for easing the compliance burden on them. A committee has also been set up for the purpose. Further, CEA will be making online portals for collecting information, giving clearances and approvals, under this stage.
• In the first phase, the Central Electricity Regulatory Commission (CERC) has notified the Ancillary Services Regulation repealing the earlier one. The new regulation provides for the provision of primary, secondary, tertiary and other ancillary services and is expected to benefit the entity/consumer connected to the grid. In the second phase, CERC is proposing to introduce new transmission access regulations. The Commission will also be revamping the Renewable Energy Certificate Regulations for promoting renewable energy in the country in this phase.

Mr. Singh appreciated the efforts made by the Ministry and its organizations in reducing the regulatory compliance burden of the consumers and industries, according to MoP. He said that the exercise should be conducted at State level as well and uploaded on the RCB Portal for the benefit of all customers and stakeholders.

Ease of Doing Business-Reducing Compliance Burden (EoDB-RCB) is a program of the Government of India to reduce the regulatory compliance burden on citizens and businesses. The EoDB-RCB exercise focuses on reducing compliances related to Licenses/Certificates/ Permissions, Renewals, Inspections, Returns/Filings, Registers/Records, Decriminalization, and involves assessment of regulations including repeal of redundant laws.