India Renewable Energy Policy Roundup: October, 2016

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Here is a policy roundup from central, state and government agencies from the month of October covering renewable energy in India.

Jammu & Kashmir Energy Development Agency (JAKEDA) is expected to release a policy on net metering for grid-connected rooftop solar PV power projects. The policy will be effective from the date of its notification in the Gazette of India.

Hydro power was granted renewable energy status at the Power Ministers’ conference. It was also decided to setup a separate renewable energy purchase obligation (RPO) for hydro power with state incentives to meet RPO compliance.

Agency for Non-Conventional Energy and Rural Technology (ANERT) has been asked to come up with a policy to address the incentives that can be offered by the state government to boost renewable energy installation. The state plans to set up close to 1,000 MW of renewable energy projects comprising of solar and wind to meet its energy demand.

The Chandigarh administration has targeted rooftop installation goal of 50 MW by 2022. To achieve the target, Chandigarh administration is providing incentives, including a central subsidy of 30 percent and an incentive for Residents’ Welfare Associations (RWAs) in the Union Territory.

The Ministry of Power has announced waiver of inter-state transmission charges and losses for wind and solar projects in a push to encourage the growth of renewable energy generation in the country. No inter-state transmission charges and losses will be levied for solar projects commissioned by June 30, 2017, and for wind projects, the waiver will be applicable to projects commissioned by March 31, 2019.

Maharashtra has joined the Ujwal DISCOM (distribution company) Assurance Yojana (UDAY), becoming the 17th state to do so. The state is estimated to achieve a net benefit of Rs.97.25 billion (~$1.45 billion). To date 16 states and one Union Territory have joined the UDAY program.

On October 2, 2016, India became the 62nd country to ratify the Paris Agreement. As part of the national plan to curb carbon emissions and rising temperatures, India has set a goal of generating 40 percent of its electricity from renewable energy sources by 2030.

Shri Piyush Goyal, Minister of Power (IC), said that the Ministry of Power is deliberating to find a solution to enforce or penalize states that flout the ‘must run’ status. India’s renewable energy target of 175 GW by 2022 is very aggressive and the government needs to remove hurdles like non-compliance of must run status of renewables by DISCOMs.

The states of Andhra Pradesh, Bihar, Telangana, Chhattisgarh and Uttar Pradesh (UP) have submitted proposals to the Ministry of New and Renewable Energy (MNRE) to replace a combined 1,067 MW of energy from conventional power plants with solar.

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