BENGALURU: The grid-connected solar power generating scheme, which has failed to garner much response since its launch in the first week of November last year, is in for another shocker. The Karnataka Electricity Regulatory Commission (KERC) is all set to review tariffs.
KERC has called for objections, which are to be submitted before December 16, for its discussion paper for determination of tariff for Grid-Interactive Rooftop and Small kilowatt scale solar photovoltaic plants in Karnataka.
In addition to the new tariffs, KERC is planning to introduce gross metering and put a cap on generation of solar energy by individual consumers.
The state government envisaged solar power generation of around 200 MW from individual consumers under its grid-connected solar rooftop scheme for the year 2014-16. To promote the scheme KERC had asked power companies to buy excess solar power being generated for `9.56 a unit from individuals who have not availed any subsidy and `7.20 from those who have availed subsidy.
However, KERC revised the tariff midway and brought it down to `8.40 a unit for individuals without subsidy. Now it is further revising the rates to `6.51 per unit. The rate will be accordingly revised for consumers without subsidy. Also the subsidy for consumers installing solar power systems has been brought down to 15 per cent from 30 per cent.
KERC has revised the tariff for grid connected megawatt scale solar photovoltaic and solar thermal power plants factoring the decline in capital cost of installation of the solar power generating systems due to the reduced cost of solar modules.
Interestingly, Bangalore Electricity Supply Company (BESCOM) was able to complete 104 installations in a year and despite higher tariffs and better subsidy, it has managed to reach an installed capacity of 2.4 MW against its target of 100 MW.
Energy expert M G Prabhakar said, “The scheme failed to pick up as the state government did not promote it. The revision in tariffs will only result in poor response from consumers willing to install solar photovoltaic cell (SPV) panels.”
KERC has also proposed to end the net metering system and bring in gross metering for consumers with solar power generating systems.
The state till date had the highest tariffs for solar power generators and it claims that higher tariff was a big hindrance for supply companies buying power.
The KERC paper suggests that many consumers are intending to install small solar power plants far in excess of their sanctioned load. For example, as per the data furnished by BESCOM vide its letter dated 1 August, an installation with 100 KW sanctioned load and consuming only 637 units a month on an average, is proposing to install 500 KW rooftop/small solar plant and would be exporting 59,363 units a month on net metering basis.
Similarly, a consumer with sanctioned load of 1 KW intends to install SRTPV of 100 KW which would result in pumping a large quantity of net metered energy into the grid. This disparity between the sanctioned and the installed capacity is resulting in disproportionately large surplus energy being pumped into the grid under the net metering arrangement.
However, Prabhakar said, “It is not a crime for an individual to earn by generating power and the state is under the renewable power purchase obligation rules. The capping of power generation is against the norm and it will work as a major deterrent for consumers in installing SRTPVs.”