Renewable energy to soon get a separate trading platform

Platform to be jointly developed by ministry of new and renewable energy and Power Trading Corporation

With the increasing share of renewable energy (RE) in the grid and the likelihood of it disturbing the existing power systems, the government is preparing a separate power trading platform.

It is to be jointly developed by the ministry of new and renewable energy (MNRE) and Power Trading Corporation of India (PTC), the latter a joint venture of several entities with the government.

The envisaged platform would help states buy, sell and trade renewable-based power. States with surplus RE generation could sell and those ones which want to meet their renewable purchase obligation (RPO) would get a platform to do so.  As mandated under a national tariff policy, states have to meet part of their energy requirement from renewable sources. RPO, launched in 2010, makes it obligatory for distribution companies, open-access consumers and captive power producers to meet part of their energy needs through green energy. During 2015-16, barring a few exceptions, none of the states has met its RPO, for fifth year in a row.

Senior PTC and MNRE officials said the model was under development and was likely to include RE certificates. The latter, launched in 2010, has a problem finding takers. At present, 17.5 million of the 33 million issued are unsold. It is meant for states which don’t want green energy but have to meet their RPO. Of the 300,000 megawatt (Mw) of generation capacity, RE (solar, wind and biomass) was 42,850 Mw as on April 1. Thermal power generation from coal and gas is 172,000 Mw. Solar power capacity is 6,000 Mw.

India is the fifth largest country globally, in terms of wind power capacity. In the past decade, RE has grown by 89 per cent, while hydro has staggered at 28 per cent. The National Democratic Alliance government has revised the target for renewable energy capacity addition by five times, to 175,000 Mw by 2022. PLUG INTO NEW ENERGY

• Power trading platform would be jointly developed by the ministry of new and renewable energy (RE) and Power Trading Corporation of India, a public-private venture for power trading
• The envisaged platform would help states buy, sell and trade renewable-based power
• India is the fifth largest country globally, in terms of wind power capacity
• Of the 300,000 Mw of generation  capacity, RE (solar, wind and biomass) was 42,850 Mw as on April 1.
  Thermal power generation from coal and gas is 172,000 Mw. Solar power capacity is 6,000 Mw