CNN Central News & Network–ITDC India Epress/ITDC News Bhopal: Electricity Regulatory Commission has decided to grant interstate business license under Category-E for electricity business in the state to Madhya Pradesh Power Generating Company. It is noteworthy that Madhya Pradesh Power Generating Company has fulfilled all the technical and financial criteria specified in the eligibility criteria for grant of trading license, duties of the trading licensee, terms and conditions regulations 2004.
Getting the license is a “milestone” for the power generating company.
Managing Director of the company Manjeet Singh said that getting the trading license for Madhya Pradesh Power Generating Company is a milestone. He said that getting the interstate business license of Madhya Pradesh Power Generating Company will help in reducing the energy charge rate (variable cost) of the thermal power station to some extent. Due to this reduction, MP Power Management will reduce the power purchase cost of the company.
Assistance will be provided in purchasing renewable energy
Madhya Pradesh Power Generating Company is permitted to set up or obtain renewable energy from renewable energy plants under various modes. Madhya Pradesh Power Generating Company is allowed to obtain renewable energy from plants established under Section 63 of the Electricity Act 2003.
Under this, Madhya Pradesh Power Generating Company will purchase electricity from the renewable energy plant established by the solar project developer selected under Section 63 i.e. competitive bidding.
There will be renewable energy bundling
With Thermal Electricity – The Power Generating Company shall bundle the purchased renewable energy with the thermal electricity of the pre-identified thermal generating station so that such renewable energy is used to supply power to the MP Power Management Company as per the existing Power Purchase Agreement. Can go.
Madhya Pradesh Electricity Regulatory Commission in its order has mentioned that supplying such purchased renewable energy to MP Power Management Company through bundling mechanism can be considered as inter-state trading activity.
