SECI Pays ₹6.61 Billion to Solar and Wind Developers for Power Purchased in June

The Solar Energy Corporation of India (SECI) paid around ₹6.61 billion (~$89 million) to solar and wind developers for the power it purchased in June 2021, according to the data released by the nodal agency. The disbursement accounted for 90.65% of the total amount disbursed by the agency in June 2021.

The nodal agency’s total disbursement for the month came to ₹7.30 billion (~$98.14 million) towards the purchase of solar and wind power, subsidies, reimbursement to developers, and duties and tax reimbursement, among other expenses for the month.

SB Energy, Renew Power, Green Infra Wind Power, Azure, ACME, and Clean Solar were among the main beneficiaries of the payments by SECI in June 2021.

The payment released by SECI comes as a relief to renewable energy developers who have been reeling under the pressure of unpaid bills by the state distribution companies (DISCOMs). At the end of April 2021, DISCOMs owed ₹113.34 billion (~$1.56 billion) to renewable energy generators (excluding disputed amounts) in overdue payments across 200 pending invoices, according to data released by the Ministry of Power.

SECI released around ₹43.76 million (~$587,772) in subsidies for the rooftop solar program. Hero Solar Energy, Harsha Abakus Solar, Aadi Technologies, Uratom Solar, Amplus Energy Solutions were among the main beneficiaries of the payment made by SECI for the rooftop solar program.

The agency also reimbursed ₹98.03 million (~$1.32 million) to solar power developers for safeguard duty, and goods and services tax (GST) claims per annuity method.

The agency paid ₹25.30 million (~$339,882) under the viability gap funding program in June 2021. An amount of ₹32.84 million (~$ 441,098) was compensated against transmission charges.

SECI also paid ₹14.34 million (~$192,573) to service providers and contractors. The agency refunded ₹382.80 million (~$5.1 million) against financial closure extension charges.

The nodal agency had paid around ₹4.91 billion (~$66 million) to solar and wind developers for the power it purchased in the previous month.

Mercom had earlier reported that the Central Electricity Regulatory Commission, in a recent order, directed SECI to compensate a solar developer for the increased cost incurred due to imposition of safeguard duty under the ‘Change in Law’ clause. In another ruling, CERC directed SECI to compensate SB Energy One for the increase in the cost incurred due to the imposition of GST and safeguard duty on an annuity basis over a period not exceeding the duration of the power purchase agreements.