Public comments invited on draft CERC Regulations on renewable energy certificates; prescribes terms for Renewable energy generating stations, captive power projects, DISCOMs and open access consumers to issue renewable energy certificate

With a view to issue regulations for the development of market in power from renewable energy sources through renewable energy certificates, the Central Electricity Regulatory Commission (“CERC”) has issued the Draft CERC (Terms and Conditions for Renewable Energy Certificates for Renewable Energy Generation) Regulations, 2022 (“Draft Regulations”).

CERC has invited comments / suggestions / objections, which may be sent by March 15, 2022 at secy@cercind.gov.in and advisor-re@cercind.gov.in. Further, the CERC informed that for registered users, the comments / suggestions / objections shall also be uploaded through SAUDAMINI Portal.

Key Highlights:

• The entities eligible for issuance of certificates are as follows-

i. Renewable energy generating station;

ii. Captive generating station based on renewable energy sources;

iii. Distribution licensee;

iv. Open access consumer;

• A renewable energy generating station shall be eligible for issuance of certificates, if it meets the following conditions:

(a) the tariff of such renewable energy generating station has not been either determined or adopted, or the electricity generated is not sold either through an electricity trader or in the Power Exchange, for RPO compliance by an obligated entity;

(b) such renewable energy generating station has not availed any-

(i) waiver or concessional transmission charges or;

(ii) waiver or concessional wheeling charges or;

(iii) facility of banking of electricity;

• The process involves-

(i) accreditation and registration for Certificates;

(ii) issuance, exchange and redemption of Certificates;

• An entity shall be eligible for grant of registration for certificates by the Central Agency in accordance with the procedure for registration for certificate provided the entity has been granted accreditation for certificates. The registration for certificates shall be granted in terms of the Draft Regulations shall be valid for 15 years from the date of registration for certificates;

• An entity may apply for issuance of certificates, to the Central Agency in accordance with the procedure of issuance of certificate provided the entity has been granted registration for certificates. The application for issuance of certificates shall be made to the Central Agency within six months from the corresponding generation by the eligible entity provided that no certificate shall be issued for applications made beyond the period of six months from corresponding generation;

• The certificates issued shall remain valid until they are redeemed;

Note- The REC Regulations, 2010 and all subsequent amendments and procedures shall be repealed from the date of effect of the Draft Regulations.

For further details, please refer to the attached document.

Source: Central Electricity Regulatory Commission