GERC Reviews Petition For Adoption Of Tariffs In 212 MW PM KUSUM-C Feeder Level Solarization Scheme

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Representational image. Credit: Canva

The Gujarat Electricity Regulatory Commission (GERC) received a petition from Dakshin Gujarat Vij Company Limited (DGVCL) regarding the adoption of tariffs discovered under competitive bidding. This initiative, part of the PM KUSUM-C Feeder Level Solarization Scheme, aims to solarize 11 kV feeders using solar power plants with a total capacity of 212 MW. The project operates under the RESCO model and targets enhancing the agricultural energy infrastructure in Gujarat.

DGVCL’s petition cited Sections 63 and 86(1)(b) of the Electricity Act, 2003, emphasizing the necessity of adopting tariffs determined through transparent competitive bidding. The petitioner highlighted their compliance with the Gujarat Electricity Industry Reorganization and Regulation Act, 2003, and detailed the restructuring of the Gujarat Electricity Board into specialized entities responsible for generation, transmission, and distribution.

The competitive bidding process, guided by the Ministry of New and Renewable Energy (MNRE), resulted in tariffs ranging from โ‚น3.09 to โ‚น5.48 per kWh, with final negotiations reducing rates to โ‚น3.00 per kWh for selected projects. The MNRE guidelines established benchmark costs and conditions for feeder-level solarization, including financial assistance for solar plant installations. This initiative also aligns with the state’s Renewable Purchase Obligation (RPO) targets, which emphasize increased reliance on renewable energy.

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Public notices and stakeholder consultations were conducted, with no objections raised. Following the review of submitted documents and compliance with regulatory requirements, the Commission deliberated on the petition. The project is expected to contribute significantly to Gujarat’s renewable energy goals and bolster agricultural energy sustainability. The Commission’s approval is anticipated to pave the way for the execution of power purchase agreements and the project’s timely implementation.

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