|
| Rates of power from cane residue up 57% in Maha |
| BS Reporter / Mumbai Jan 12, 2010, 00:36 IST |
|
The Maharashtra Electricity Regulatory Commission (MERC) on Monday approved a 57 per cent raise in rates for power supplied from bagasse-based co-generation projects in the state, from Rs 3.05 to Rs 4.79 a unit.
Bagasse is what is left of sugarcane after it has been crushed to extract juice. Co-generation is a form of energy recycling, where electricity and useful heat are simultaneously produced.
Cooperative and private sugar mills operating such units and those planning to do so would be the major beneficiaries. MERC delivered its order on a petition filed by the Cogen Association of India.There are 22 cooperative units generating 200 Mw to MahaVitaran, the state government’s power distribution network.
Further, there are 55 sugar mills that have planned cogeneration projects totalling 1,000 Mw. The petition was filed in September 2008, with a plea to raise the rate to Rs 5.50 a unit.
Interestingly, MahaVitaran had also supported the revision. The sugar commissionerate vetted the data on cost of generation and bagasse prices given by Cogen India. At present, bagasse is priced at Rs 2,200 a tonne and the original price of Rs 3.05 was based on a bagasse price of Rs 750-900 a tonne.
MERC has said that it would come out with a new policy for renewables for five years from April. Prakash Naiknavare,, executive director of Cogen India, told Business Standard the new policy in the offing would give due consideration to upward revision of rates based on ground costs.
|
|
|
|
|
|
|
|
|
|
 Read Business news in |  |
|
|
|
|
|
|
Advertisements |
|
|
|
|
|
|
|
|
|
|
Content Guide
