New Delhi: The recent command by the Central Electricity Regulation Commission (CERC) and previous guidelines by the Ministry of Force Union which allows discounts to exit the Power Purchase Agreement (PPA) with plants that complete 25 years of commercial operations will open the way for BPA to save Rs 800 Crore per year and the benefits tend to flow to consumers.
The Delhi Electricity Regulation Commission (DERC) was recently written to the Ministry requested Delhi’s share of the ‘expensive’ (756 MW) force from the NTPC Dadri-I generator station, to ‘optimize the cost of purchasing Delhi’s power, which would eventually be profitable Delhi consumers’.
The source said that there are a total of seven power stations that supply power at a relatively expensive level of more than Rs 6 per unit to discoming BBS.
Of this amount, five stations, including Dadri-I, has completed 25 years and two more power stations will be completed by 25 years in August 2021 and April 2022.
These seven power plants supply around 830 MW with discs and sources say that the Bpt readings has initiated the process with DERC to get out of the remaining power plants in this category.
Diskom plan to replace this power with a much cheaper ‘green power’ around Rs 2.5 per unit, which will lead to savings around Rs 800 Crore per year, said the source.
At present, the share of renewable energy is around 10% of the old BBS settings, which plan to increase.
Savings will help recover past revenue gaps for discounts, which have reached the hospital.
51,646 crore on March 31, 2020.
“This big difference in power prices will help in neutralizing the increase in costs by absorbing the impact of inflation and other factors, including coal prices, gas etc.
This will relieve pressure on future tariff increases,” said an official.
Out of expensive pact set to save disco RS 800CR / year
