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Regulator Dismisses Petition Related to 3.2-GW Coal Power Procurement for Rajasthan State in India

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The Rajasthan Electricity Regulatory Commission, the power regulator for India's Rajasthan state, has dismissed a petition seeking the review of an order to not approve a proposed 3.2-gigawatt coal-fired power procurement proposal for the state, according to a filing on Friday.

The state-owned Rajasthan Urja Vikas & IT Services, which carries out bulk power procurement and power trading activities on behalf of the state distribution companies in Rajasthan, had sought the commission's reassessment of petition for initiation of a tariff-based competitive bidding process for procurement of 3,200-megawatt, or four 800-MW coal-fired round-the-clock power for 25 years.

The petition was originally dismissed by the commission in November last year, stating that the requirement of 3,200-MW RTC power "needs to be reassessed."

The commission had also noted then that the proposed large-scale addition of coal-based capacity appeared to be misaligned with the Integrated Clean Energy Policy and the national transition towards a higher share of renewable energy, according to the filing.

Following the order, the petitioner approached the Central Electricity Authority, a division under the Union Power Ministry, requesting it to reassess the requirement of 3,200 GW of coal-based power for the state.

In response, the CEA issued three directions/clarifications regarding re-assessment of thermal capacity required by Rajasthan to meet long term demand.

The Commission disposed off the petition in view of the clarification from the Central Electricity Authority, while noting that the petitioner may prepare an updated plan which needs to be updated annually on a rolling basis.

Considering the progress of already planned/identified/upcoming projects, a decision regarding tie-up of power from different sources lies entirely with the distribution companies, it further added.

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