The path to a greener electricity grid may be paved with good intentions but we mustn’t set targets in stone
With rising solar and wind capacity in India’s electricity system, these clean sources have crossed the one-third mark. Given the vagaries of weather, however, a key challenge lies in ensuring the delivery of reliable supplies on schedule.
In this context, the Central Electricity Regulatory Commission, the central power regulator, recently proposed that electricity generation from wind and solar sources be treated at par with reliable conventional sources like coal and gas when it comes to departures from scheduled supplies.In its draft order, it has set out a soft escalation scale for deviation penalties. These are quite low right now, but will rise to the level levied on conventional supplies by 2031 if the proposal is adopted.
Currently, it is mostly coal-fired plants that step in with extra supplies to meet shortfalls. With the deviation leeway for renewable energy (RE) shortening, these plants will earn more for helping keep the system stable.
In effect, with this proposed intervention, the regulator is seeking to unravel and account for the true cost of RE. The new norms would push RE developers to invest in advanced forecasting systems or even battery storage units to avoid penalties.The government, pressured by its target of setting up 500GW of non-fossil-fuel capacity by 2030, has predictably suggested that the regulator defer its stringent rules as it would deter investments.
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