Central Electricity Regulatory Authority Current Affairs - 2020
On March 28, 2020, the Ministry of Power approved major relief measures to provide power supply 24/7 to all the consumers. In order to achieve this the generation, transmission and distribution operations are to run continuously round the clock
What is the issue?
In India, 70% of power generation is coal based. Therefore, it is important to maintain the continuity of coal supply. Also, due to lock down the consumers have not paid their dues. This has affected the liquidity positions of the distribution companies.
The Ministry of Power has issued directions to the Central Electricity Regulatory commission. According to the guidelines, the commission is to provide moratorium of three months to the Discoms in order to make payments to the generating companies.
What are Discoms?
A Discom is Distribution Company (in India). These are companies that are not generating power by themselves. Rather they buy power from some one else and distribute it to the consumers.
Tags: Central Electricity Regulatory Authority • Corona Virus • COVID-19 • DISCOMs • lock down
State-owned power giant NTPC Ltd. is planning to add 10 GW (gigawatt) of solar energy generation capacity by 2022. The project would entail an investment of around Rs.50,000 crore which will be funded mainly by green bonds. NTPC’s plans to add 10GW solar energy capacity assumes significance in view of country’s ambitious target of having 175GW of clean energy by 2022.
For borrowing option, the company would mainly rely on Green Bonds which are offered for pure clean energy projects. It wants to raise money through domestic as well as overseas green bonds.
Currently, NTPC has installed renewable energy capacity of 920 MW (Megawatt), which includes mainly solar energy. It has also formulated a long-term plan to become a 130GW company by 2032 with 30% non-fossil fuel or renewable energy capacity. NTPC will be completing tendering of 2,300 MW of solar energy capacity by end of this fiscal year (2019-2020), and thereafter it has planned to add 4GW each in 2020-21 and 2021-22.
As NTPC intends to sell electricity to industrial and commercial consumers as well as at energy exchanges, it will be setting up solar energy projects without any long-term (for 25 years) power purchase agreements (PPA). Central Electricity Regulatory Authority (CERC), the power sector regulator has already approved real-time power market, which is expected to kick in by 1 April 2020.
NTPC would also set up some of its solar energy projects under scheme where it gets viability gap funding (VGF) to keep the tariff below Rs.3/unit level.
About NTPC Limited
It was formerly known as National Thermal Power Corporation Limited. It is an Indian Public Sector Undertaking (PSU), engaged in business of electricity generation and allied activities. It was founded in 1975 and was incorporated under Companies Act 1956.
Tags: Central Electricity Regulatory Authority • CERC • Green Bonds • NTPC • Renewable Energy