Procurement

A new study proposes an ‘extended producer responsibility’ based regulatory framework for end-of-life (EOL) solar PV management in India. Under the framework, the Government of India (GoI) works as the nodal agency, defining the roles and responsibilities of different stakeholders and regulating the overall supply chain. The onus of EOL solar PV take-back, transportation, storage, recovery, and destruction lies on the manufacturers, with the entire system cost borne by an executive committee formed by the manufacturers.  

After the ravages of Covid-19, electricity shortages in China have now raised costs for its solar manufacturers, with knock-on effects for developers in India too, again highlighting the dangers of relying on a single solar supply chain.

A new report finds the current credit rating mechanism for power distribution companies in India is highly linked to their operational and financial performance. The report highlights the need to revise discom ratings to reflect their green mandates, decarbonization plans, and tariff implications to resolve the challenges of payables (and receivables).

A new IEEFA note discusses the impact of the proposed market-based economic dispatch mechanism for procuring bulk power, and regulations for frequency control ancillary services.

The Delhi-based Appellate Tribunal for Electricity (APTEL) has directed Tamil Nadu State Load Despatch Centre (TNSLDC) and The Tamil Nadu Generation and Distribution Corporation (TANGEDCO) to compensate developers at 75% of PPA tariff per kWh on solar curtailment.

A new report proposes a scenario that prioritizes efficiency over variable costs in India’s coal power dispatch mechanism. It goes on to estimate the efficiency improvements and cost savings achieved in this scenario. 

The Indian power sector is set for a revolution with the proposed market-based economic dispatch (MBED) mechanism. MBED aims to establish a uniform pricing framework that prioritizes the least cost and most efficient generators while backing down more expensive ones, thereby creating a national merit order.

Ratings agency ICRA maintains a negative outlook for thermal power generation despite a rise in electricity demand. The thermal plant load factor will remain subdued at 57%. The gap between the average cost of supply and the average tariff for discoms is estimated at 70-75 paise per unit for FY2022.

Applications are invited for procurement of power generated from NTPC’s 735 MW solar power project in Nokh, Rajasthan. To qualify, the applicant must have a sanctioned load greater than 2 MW.

Jinchen Machinery has landed module production equipment orders from leading Indian solar manufacturers. It has already installed 2 GW of production lines and plans to supply the balance within three months. The company will open an India office in Surat, Gujarat.