Maharashtra’s open access policy for solar power in Maharashtra is helping the state lead in renewable energy, especially solar power. To make clean and affordable energy accessible to everyone, the Maharashtra Electricity Regulatory Commission (MERC) has introduced new rules to support Green Energy Open Access (GEOA).
Key Features of Maharashtra’s Green Energy Open Access Policy
1. Qualifications
Contracted Demand: GEOA is available to customers who have a sanctioned load or contracted demand of 100 kW or more. This covers both single connections and a collection of several connections made by a distribution licensee within the same electrical circle.
Captive Consumers: Businesses are encouraged to invest in renewable energy generation for their own consumption because GEOA does not impose load constraints on captive consumers.
2. Procedure for Applications
Nodal Agencies: The State Transmission Utility (STU) manages medium- and long-term GEOA applications, while the Maharashtra State Load Despatch Centre (MSLDC) is assigned to short-term open access.
Approval Timelines: In order to streamline the process for both developers and customers, the policy requires quick application approvals, usually within 15 days.
3. Fees and Additional Fees
Cross-Subsidy Surcharge (CSS): The CSS will not be greater than 50% of the set surcharge for authorized open access during the first twelve years of operation. Exemptions also apply when green energy is utilized to produce green ammonia or green hydrogen.
Additional Surcharge: This surcharge applies to customers that purchase power from non-distribution licensees. However, there are exceptions for those who use the power for offshore wind projects, waste-to-energy projects, or the generation of green hydrogen or ammonia.
4. Provisions for Banking:
Banking charges: To cover grid management expenses, they are now set at 8% of the energy banked, up from the previous 2%.
Unused Energy: At the conclusion of each banking cycle, any excess banked energy that is not used will lapse. In order to encourage effective energy use, renewable energy generating stations might obtain Renewable Energy Certificates (RECs) for the energy that has lapsed.
5. Requirements for Metering
Special Energy Meters: In order to participate in GEOA, qualified Low Tension (LT) consumers must have Time of Day (ToD) meters, while High Tension (HT) consumers must install Special Energy Meters.
6. Integration with Rooftop Solar
Simultaneous Access: This rule promotes the deployment of localized solar installations by allowing consumers with rooftop renewable energy generating systems to simultaneously access open access.
Advantages for Commercial and Industrial (C&I) Customers
Maharashtra’s high retail tariffs have encouraged C&I customers to choose solar open access, which has led to considerable cost savings:
Cost Savings: By choosing solar open access under captive or group captive arrangements, C&I customers can reduce their electricity costs by as much as 30–40%. This means that industrial users can save about ₹2 ($0.024) per kWh, while commercial users can save about ₹6 ($0.073) per kWh.
Return on Investment (ROI): Since C&I customers have a relatively short ROI period (between 8 and 12 months), solar open access is a financially feasible choice.
Obstacles and Things to Think About
Even though the GEOA policy has many advantages, certain problems still exist:
Land Acquisition: Due to disputes and India’s opaque land market, obtaining land for large-scale solar projects can be difficult. Examples such as the Nandgaon land dispute demonstrate the complexity of the situation.
Regulatory Compliance: To guarantee compliance and optimize the advantages of GEOA, navigating the regulatory environment demands in-depth knowledge.
Conclusion
The state’s dedication to the adoption of renewable energy is demonstrated by Maharashtra’s Open Access Policy for solar electricity. In keeping with national and international clean energy targets, the policy promotes C&I consumers to switch to sustainable energy sources by offering clear guidelines and incentives. For solar open access to continue to succeed and grow in the state, it will be essential to solve issues like land acquisition and provide regulatory certainty.
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