31 December 2008

5% energy to come from renewable sources from 2009-10

Times of India, 31 Dec 2008

PUNE: Underlining the importance of electricity regulator in implementation of a national action plan on climate change, Pramod Deo, chairman of the central electricity regulatory commission (Cerc), on Saturday said that all power utilities in the country will have to buy at least five per cent of their grid purchase from renewable energy sources from 2009-10 onwards.

The Cerc will fix the dynamic minimum purchase standard for renewal energy which will help reduce emission from the electricity sector. "While the minimum purchase standard will be fixed, from 2009-10 onwards all electricity utilities in the country will have to buy renewable energy. There will be one per cent increase in the purchase of renewable energy for every year for the next 10 years," he said.

Deo was speaking on National action plan on climate change and the role of electricity regulator to mark the fifth foundation day of Pune-based World Institute of Sustainable Energy (Wise).

Deo pointed out that at least 20 state electricity regulatory commissions (SERCs) have already determined the percentage of energy that has to be bought from renewable sources. "While Karnataka and Tamil Nadu are currently buying 10 per cent of their grid purchase from renewable sources, Maharashtra has reached four percent target," he said.

Deo said that the nation-wide target for purchase of renewable energy needed to be fixed besides creation of a strong enforcement and penalty mechanism to create competition among renewable energy generators and also a system for inter-state sale and purchase of renewable energy. "A minimum renewable energy purchase obligation also has to be fixed," he said.

Deo revealed that the ministry of new and renewable energy is also conducting a feasibility study for introducing renewable energy certificates. "One certificate will be equal to 1 MW he of renewable energy generated. The certificates can be traded to meet the mandatory targets of renewable energy purchase," he explained.

Elaborating on the role of CERC in implementation of an action plan on climate change, Deo said that issues like research and development in solar energy, promotion of innovation to make solar energy equipment affordable and enable long-term storage of solar power need to be tackled. "Attention will have to be paid to energy efficiency, creating a mechanism to fund demand side management programme, develop fiscal instrument to promote energy efficiency and pushing energy conservation building code," he said.

Deo said that demand side management (DSM) will assume importance and every power distribution company will have to submit its DSM plan that will cover time of day tariff, rebates and incentives. "Many of the aspects including modernisation of thermal power plants and phasing out of outdated and highly polluted plants will be tackled in the national tariff policy for 2009-10 to be announced by the Cerc", Deo stated.

Copyright © 2008 Bennett Coleman & Co. Ltd. All rights reserved

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1 comment:

BeyondGreen said...

With all the billions in stimulus checks and bailouts why does our nation not see the need to bail us out of our energy crisis? Invest in revamping America and utilizing alternative/renewable sources of energy more! The high cost of fuel this past year did a number on our economy and society. We will reel from the ripple effects for years to come. Just as we all do the happy dance around the lower prices at the pumps OPEC cut production again and wont stop until they reach their desired 80-100 per barrel again. I just read a fascinating book by Jeff Wilson called The Manhattan Project of 2009 Energy Independence Now. www.themanhattanprojectof2009.com It would cost the equivalent of 60 cents a gallon to charge and drive an electric car. The electricity to charge the car could come from solar or wind generated electricity. If all gasoline cars, trucks, and suv’s instead had plug-in electric drive trains, the amount of electricity needed to replace gasoline is about equal to the estimated wind energy potential of the state of North Dakota. Why not invest in America's energy independence, creatE cheap clean electricity, new badly needed green collar jobs and lessen our dependence on foreign fossil fuels all in one fell swoop?