The Commission stated that when a solar project is not registered under the Renewable Energy Certificate (REC) mechanism, all solar energy produced would be used to meet the distribution licence provider`s (RPO) obligation. In case of excess energy, the excess electricity is offset by the relevant distribution license provider at a price of ₹1.75 (~$0.023) /kWh. The Commission had requested proposals from all interested parties and had planned a public consultation on the proposed tariff framework for solar projects on 7 March 2020. This facility will produce an average of 250 units of electricity per month and supply the grid. Thanks to the net measure, you are billed 600 to 250 = 350 units per month and your new bi-monthly bill after solar energy installation appears to have been adopted by the Gujarat Electricity Regulatory Commission (GERC) for the purchase of solar electricity through distribution licenses in the state. As the APPC is quite low, oversizing the solar installation on the roof does not bring significant financial benefits. We recommend that gujarat`s electricity consumers size their system so that it produces only the amount of their average monthly consumption. In practice, the limit of 50% of the sanctioned load is probably reached before the size of the consumption. Previously, GERC had issued an injunction allowing Gujarat Urja Vikas Nigam Limited (GUVNL) and other state DISCOM to source electricity from small solar projects with a maximum capacity of 4 MW in order to meet their RPO targets. Use our handy solar size calculator and supply generator to find the appropriate facility size and cost of your request. The useful life of solar projects during the new normal period is 25 years. The Commission also found that solar projects commissioned during the new control period and signed POWER Purchase Agreements (PPAs) would be allowed to sell electricity to distributors in Gujarat. The net effect of the aforementioned certificates would reduce effective yields by ~2.5% per year.
Given the 5% inflation in electricity tariffs, adjusted returns remain extremely attractive at ~18% per year. Due to the cost-effectiveness of scale, yields from large solar installations will be higher. Connection contract for households and government competitors Up to 50% Interconnection contract for industrial, industrial and other consumers does not use a « renewable » attribute for RPO & REC More than 50% of THE SPA interconnection contract for industrial, industrial and other users uses the non-« renewable » attribute for RPO &REC Interconnection for industrial, industrial and other users used to satisfy Make to the attribute « renewable » RPO interconnection agreement for industry, industry and other consumers uses the attribute « renewable » under the REC mechanism The rooftop solar installation has reduced your electricity bill by ₹ 8,447 – ₹ 4,629 = ₹ 3,818 every two months or ₹ 22,908 per year. . . .