TNERC scales up renewable energy target for 2019-20

Despite Tamil Nadu struggling to meet the renewable purchase obligation (RPO), the Tamil Nadu Electricity Regulatory Commission has proposed to increase the state’s RPO target and solar generation steeply for the next three years.
TNERC scales up renewable energy target for 2019-20


The commission has been mandated to set RPOs for the financial years 2019-20, 2020-21, and 2021-22 as per the direction of the Ministry of Power and in aiding acceleration of growth of clean energy sources.

As per the amendment proposed in the RPO regulations, the RPO target for the financial year 2019-20 is 16.25 per cent, of which the solar RPO is 6 per cent. Similarly, for the financial year 2020-21, the RPO is set at 18.25 per cent, out of which the solar RPO is 8 per cent. In 2021-22, the RPO target is 21 per cent including 10.5 per cent for Solar RPO. The commission has already notified the RPO for the financial year 2017-18 at 14 per cent.

RPO is the single most important policy driving renewable energy installations in India towards achieving its aggressive goal of installing 1.75 lakh megawatt by 2022, with solar comprising one lakh megawatt of this portfolio. In the last fiscal year, the Ministry of Power had set a total RPO target of 17 per cent including 6.75 per cent solar RPO in the states against its total energy generation. According to the Ministry of New and Renewable Energy, only four states, including Karnataka and Andhra Pradesh, achieved more than 100 per cent RPO compliance in 2018-19, while seven states, including Tamil Nadu, Rajasthan and Uttarakhand, have achieved more than 60 per cent. 

As per the target, Tamil Nadu was supposed to generate 17,693 million units (MU) of renewable energy out of the total energy generation of 1,04,078 MU for the last fiscal year. However, the state was able to generate renewable energy to the tune of 16,898 MU which is 16.23 per cent. “For 2019-20, we will be able to achieve the RPO and the solar generation target with the ongoing solar power projects. But achieving target for the subsequent years would be difficult unless the solar power installed capacity is scaled up,” a senior Tangedco official said. 

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