Indian regulator listens to solar firms' complaints about losses caused by transmission delays

According to regulatory filings, India's federal regulator of power has accepted petitions from two renewable energy developers who sought compensation for losses due to delays in establishing transmission infrastructure.

India's clean energy rollout could be a precedent that renewable energy developers will have to follow.

The Central Electricity Regulatory Commission is examining the Central Transmission Utility of India (CTUI) and Power Grid Corporation of India (PGCI), the institutions that are responsible for establishing transmission infrastructure.

CERC has asked that both parties respond within six-weeks.

ACME Solar, AMPIN Energy and other developers argued, in separate petitions, that they had suffered financial losses because of their inability transmit power generated by their solar projects, due to delays in the operationalisation of transmission infrastructure.

ACME Solar, based in Gurugram, is seeking compensation of more than 210 millions rupees. AMPIN Energy has not specified its losses.

The CERC has instructed the Central Transmission Utility and Power Grids to provide details about the transmission system and the timelines for commissioning, as well as the reasons behind the delays.

The hearing of the petitions is scheduled for November 27.

Power Grid and Central Transmission Utility have not responded to the email asking for comments.

India is forced to reduce solar production during low demand periods to maintain grid stability, and to ease congestion. As renewable energy supplies increase and transmission projects fall behind, India has had to cut back on its solar output.

According to the Rajasthan Solar Association, nearly 4 gigawatts (or 28.16 million dollars) of clean energy in Rajasthan, India's leading green state, have been curtailed. The estimated loss is up to 25 billion rupees. The Indian rupee is worth $1.

(source: Reuters)