NEW DELHI: Delhi power discoms have initiated the process of surrendering power from seven plants which are nearing their commercial operation date (COD) of 25 years. According to a source, the Reliance Infrastructure-led power distribution company BSES has initiated the process of exiting power plants which are nearing the COD.
The trigger behind the move seems to be a recent order from the power regulator Central Electricity Regulatory Commission (CERC) which allowed the Reliance Infrastructure firms to exit power purchase agreements with NTPC Dadri-I power plant, which completed 25 years of service.
There are a total of seven power stations that are supplying power above Rs 6 per unit to BSES, of these, five stations, including Dadri I, have completed 25-years from COD. Additionally, two more power stations will complete 25-years by August 2021 and April 2022. These power plants supply around 830 MW power to BSES, informed the source. Discoms have initiated the process with the Delhi Electricity Regulatory Commission for exiting the remaining power plants in this category.
As per the sources, replacing this expensive power with substantially cheaper green power, available at around Rs 2.50 per unit, will lead to savings of around Rs 800 crore per year for Delhi consumers. This will also help the BSES meet its renewable power purchase obligations (RPO) as mandated by the Delhi Electricity Regulatory Commission. The share of renewables in BSES’s power portfolio at present is around 10 per cent.