TNERC approves TANGEDCO proposal to procure 500 MW solar power from SECI to RPO targets
In the order, TNERC allowed TANGEDCO to procure solar energy for 25 years at the tariff of Rs 2.72 per unit for 200 MW and Rs 2.73 per unit for 300 MW.
Tamil Nadu Generation and Distribution Corporation (Tangedco)
CHENNAI: Tamil Nadu Electricity Regulatory Commission has approved TANGEDCO's proposal to procure 500 MW of solar power from the Solar Energy Corporation of India (SECI) to meet its renewable purchase obligations.
In the order, TNERC allowed TANGEDCO to procure solar energy for 25 years at the tariff of Rs 2.72 per unit for 200 MW and Rs 2.73 per unit for 300 MW.
TANGEDCO has stated that the Ministry of Power has fixed the RPO and Energy Storage Obligation trajectory till 2029-30 in July 2020 with separate RPO fixed for the wind and hydro energy and other RPO which is to be met by energy produced from any RE sources other than wind and hydro.
As of September 2023, TANGEDCO has total installed solar power capacity of 7,109 MW. Based on the state's total energy consumption of 1,22,335 million units in 2022-23, considering load growth of five per cent, the solar capacity required in the state to meet the "other RPO" would be from 8867 MW in 2022-23 to 27,107 MW in 2029-30 and the shortfall in the needed solar capacity would be from 2,177 MW in 2022-23 to 12,957 MW in 2029-30.
"Hence, it is necessary for further procurement of solar power to achieve the RPO targets and to avoid the penalty if any to be levied by the Ministry of Power for noncompliance with RPO, " it said.
TANGEDCO noted that if the power sale agreement for 500 MW is executed after implementing the uniform renewable energy tariff, the allocated quantity of 500 MW will also go to the central pool and the effective tariff will vary monthly.
"Tariff for a particular month is calculated based on actual energy supplied to end procurer from the pool like that solar power central pool, wind power central pool by the intermediary procurer and actual amount to be payable for such supply of power shall be on a weighted average basis, as per the Ministry of Power notification dated December 29, 2022," It demanded the commission to permit to execute power sale agreement with SECI for purchase of 500 MW.