Net Zero Summit

Govt allows solar and wind projects to avail transmission charge waivers

Huge relief coming in for solar and wind power producers facing delays in project commissioning due to reasons beyond their control. The government has reportedly allowed renewable power producers to avail transmission charge waivers even if they fail to set up their plants within June 30, 2023 — the deadline set for projects to receive the benefit.

This will benefit about 6,000 MW of solar projects that are currently facing delays in construction due to issues such as land availability, inadequate transmission capacity and supply disruptions due to Covid reports, Financial Express.

Currently, as much as 13,816 MW solar plants are being built through auctions conducted by the Centre.

The Union power ministry in its latest order said “any renewable power project which is eligible for waiver of inter-state transmission charges and is having its scheduled date of commissioning on or before June 30, 2023, is granted extension of time from the commissioning on account of force majeure or for delay on the part of the transmission provider in providing the transmission even after having taken the requisite steps in time; or on account of delays on the part of any government agency, and the power plant is commissioned before the extended date; it will get benefit of waiver of inter-state transmission charges on the transmission of electricity generated by the power plant”.

The charge waiver policy for renewables was made to make solar and wind more attractive for cash-strapped discoms

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