The Central Electricity Regulatory Commission (CERC) has directed the National Load Despatch Centre (NLDC) to process and issue pending Renewable Energy Certificates (RECs) to Tadas Wind Energy Private Limited (TWEPL) for electricity generated in July 2022. The Commission set aside the earlier decision of NLDC, which had rejected the company’s REC application because it was submitted beyond the prescribed timeline.
TWEPL operates 100 MW of wind power projects in Karnataka’s Haveri district and supplies electricity to Hubli Electricity Supply Company Limited (HESCOM). The dispute arose over the validity of Memorandum of Understanding (MoU) agreements between TWEPL and HESCOM. While HESCOM maintained that the agreements had expired on May 14, 2022, TWEPL argued that its accreditation continued until January 2024.
The disagreement resulted in proceedings before the Karnataka Electricity Regulatory Commission and the High Court of Karnataka. During the dispute, interim orders permitted TWEPL to continue injecting electricity into the grid. However, HESCOM did not immediately provide the required B-Forms, which contain joint meter readings needed to verify the electricity generated and injected into the grid.
The delay in receiving the B-Forms affected the subsequent issuance of the Energy Injection Report (EIR) by Karnataka Power Transmission Corporation Limited (KPTCL), through the State Load Despatch Centre (SLDC). The EIR is required for submitting an REC application.
TWEPL eventually received the B-Forms in early 2023, following which KPTCL issued the EIR on February 18, 2023. However, NLDC rejected the REC application on March 13, 2023, stating that the application had not been submitted within the six-month period prescribed under Regulation 7 of the CERC Renewable Energy Certificate Regulations, 2010.
TWEPL subsequently approached CERC under Sections 66 and 79 of the Electricity Act, 2003, seeking relaxation of the submission deadline. During the proceedings, KPTCL and HESCOM submitted details concerning the timeline of events, while NLDC stated that it had no objection to the relief sought by TWEPL.
CERC observed that the delay was procedural and resulted from the ongoing dispute and the delayed issuance of documents required for the REC application. The Commission found that the circumstances did not indicate negligence on the part of TWEPL.
Invoking its power to relax under Regulation 18 of the CERC Renewable Energy Certificate Regulations, 2022, the Commission condoned the delay. It directed NLDC to process and issue the RECs for electricity generated by TWEPL in July 2022, subject to completion of the applicable verification and other regulatory requirements.
