Power Ministry notifies ‘Green Energy Open Access’ Rules to accelerate RE programmes

New Delhi: Ministry of Power has notified Electricity (Promoting Renewable Energy Through Green Energy Open Access) Rules, 2022 on June 06, 2022 in order to further accelerate our ambitious renewable energy programmes, with the objective of ensuring access to affordable, reliable, sustainable and green energy for all.

The reduction of Open Access Transaction limit from 1 MW to 100 kW and appropriate provisions for cross-subsidy surcharge, additional surcharge, standby charge, will incentivize the common consumers to get Green Power at reasonable rates. Further, since the Rules also address other issues that have hindered the growth of open access, the common consumers can now get access to Renewable Energy power easily, said R.K Singh, Union Minister for Power and New and Renewable Energy in a written reply in Rajya Sabha today.

The salient features and benefits to common consumers from ‘Green Energy Open Access’ are as follow:

These rules are notified for promoting generation, purchase and consumption of green energy including the energy from Waste-to-Energy plants.

The Green Open Access is allowed to any consumer and the limit of Open Access Transaction has been reduced from 1 MW to 100 kW for green energy, to enable small consumers also to purchase renewable power through open access.

Consumers are entitled to demand supply of Green Power from Discoms. Discoms would be obligated to procure and supply green power to eligible consumers.

These Rules will also streamline the overall approval process for granting open access. Time bound processing by bringing uniformity and transparency in the application as well as approval of open access through a national portal has been mandated. Approval for Green Open Access is to be granted in 15 days or else it will be deemed to have been granted.

Commercial and Industrial consumers are allowed to purchase green power on voluntarily basis.

Provide certainty on open access charges to be levied on Green Energy Open Access Consumers which includes transmission charges, wheeling charges, cross-subsidy surcharge and standby charges. Cap on increasing of cross-subsidy surcharge as well as the removal of additional surcharge, incentivize the consumers to go green.

There shall be a uniform Renewable Purchase Obligation (RPO), on all obligated entities in area of a distribution licensees. Green Hydrogen/Green Ammonia has also been included for fulfilment of its RPO.

Consumers will be given Green Certificates if they consume green power.

As per the Electricity Act 2003, the tariff is determined by the Appropriate Commission. Accordingly, the tariff for the green energy shall be determined by Appropriate Commission and shall comprise of the average pooled power purchase cost of the renewable energy, cross-subsidy charges, if any, and service charges covering the prudent cost of the distribution licensee for providing green energy to the consumers. Ministry of Power vide notification dated 08th July, 2022 notified Power System Operation Corporation (POSOCO) as Central Nodal Agency to set up and operate a single window green energy open access system for renewable energy under these Rules.  National Portal will serve the consumers from all over the country.