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Chhattisgarh Eases Access to Green Energy for Industrial Consumers with New Open Access Rules

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Representational image. Credit: Canva

In a significant move towards promoting green energy adoption, Chhattisgarh has introduced new Rules for Green Energy Open Access. The notification, released recently, brings several key changes to facilitate wider access to renewable energy sources for industrial consumers.

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The most notable change is the reduction of the minimum capacity eligible for Open Access from 500 kW to 100 kW, effective from 1st September 2023. This reduction opens the doors for a broader range of consumers to opt for green energy sources and contribute to sustainable practices.

Additionally, the notification has removed the earlier imposed maximum capacity limit, which was set at 2.5 times the contract demand of consumers seeking wheeling or transmission of energy to their captive load or open access consumers. This move eliminates any capacity constraints, enabling industrial consumers to meet their energy needs more flexibly and efficiently.

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Under the new rules, any consumer with a contract demand or sanctioned load of 100 kW or more, excluding captive consumers, now has the option to generate, purchase, and consume renewable energy as per their requirements. Consumers can choose to purchase green energy up to a certain percentage of their consumption or even opt for meeting their entire energy needs through renewable sources. The process involves placing a requisition with their distribution licensee, who will then procure and supply the requested quantity of green energy. Moreover, consumers have the flexibility to specify separate requisitions for solar and non-solar energy.

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The tariff for the green energy will be determined separately by the Commission, comprising the average pooled power purchase cost of renewable energy, any cross-subsidy charges, and service charges covering the prudent cost of the distribution licensee for providing the green energy. It is important to note that any requisition for green energy from a distribution licensee must be for a minimum period of one year.

This progressive move by Chhattisgarh signifies the state’s commitment to encouraging renewable energy adoption and sustainability among industrial consumers. By making green energy more easily accessible and removing capacity restrictions, Chhattisgarh aims to promote a greener and more eco-friendly energy landscape.

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