GOVERNMENT OF RAJASTHAN

Size: px
Start display at page:

Download "GOVERNMENT OF RAJASTHAN"

Transcription

1 237 GOVERNMENT OF RAJASTHAN Policy for Promoting Generation of Electricity from Biomass, Order Energy Deptt. Notification F 20 (10) Energy/09 dated Title Policy for Promoting Generation of Electricity from Biomass, Objective To promote generation of electricity from Biomass 4. Enforcement From till superseded or modified. 5. Use of Power for Captive Purposes/ Sale Power Producer to use power for captive consumption or for sale to third party/ licensee including Discoms Minimum Renewable Power Purchase Obligation of State Discoms to purchase energy generated from Biomass based power plant to be as per the Order of Rajasthan Electricity Regulatory Commission (RERC). 6. Grid Interfacing Grid interfacing arrangements to be made by power producers / RVPN/ Discom as under: (i) Generating Plant Sub Station. (ii) Receiving Station (iii) Grid Connectivity (iv) Transmission from Gene rating Plant Sub Station to Receiving Station (v) Transmission & Distribution Net work Augmentation 7. Power Purchase Agreement (PPA) 8. Settlement of Accounts To be developed and maintained by Power producer as per the grid code and entire cost to be borne by developer. Producer to terminate their 33 kv (minimum voltage level) power evacuation feeder to nearby RVPN s 132/33 kv or 220/132/33 kv GSS or any other RVPNS s GSS in consultation with RREC. Producer to pay grid connectivity charges to RVPN/ Discom as finalized by RERC within 3 months of PPA. Charges to include cost of complete line bay and its interconnection with existing electrical system at RVPN GSS. Evacuation system beyond Generating Plant Sub Station till the nearest RPVN s 220/132/33 kv or 132/33 kv grid sub station to be developed by Producer as per RERC regulation dated and amendments. If line bay and grid connectivity has been made by RVPN at a particular voltage (33 kv) and power producer on later date wants to supply the power on higher voltage, then on feasibility and consent of RVPN, this will be done by RVPN as a deposit work on behalf of the Producer. If Power Producer first connects his feeder to Discom s sub station and later on wants to connect his feeder to RVPN s sub station, then additional line work to be done by Producer and the addition of line bay in RVPN sub station to be done by RVPN as deposit work on behalf of Producer. To evacuate power from receiving station, RVPN/ Discom to develop / augment the necessary transmission / distribution net work within mutually agreed time frame. RVPN/ DISCOM to provide interconnection facility one month before COD as intimated by the Power Producer. Producer to install necessary current limiting devices such as Thyristor in the generating equipment, if required. Capacitor of sufficient rating to be provided to ensure that average power factor is maintained as per the requirement of State Load Despatch Centre, measured at metering point. Power producer to comply with Grid Code including Load Despatch and System Operation Code, Metering Code, Protection Code etc. as applicable in the State of Rajasthan. Sale of electricity to Discom to be governed by the PPA executed between concerned Discom and the Power Producer as per the order of RERC. For third party sale or for captive use within the State, Producer to execute a wheeling Agreement with Discom. Wheeling Agreement with RVPN to be executed separately if the Producer intends to use RVPN system for wheeling of power. Draft PPA to be finalized by RREC in consultation with RVPN/ Discom. All transactions between the Producer and Discom/ RVPN regarding price of power and wheeling charges to be settled on monthly basis.

2 238 Compendium of State Government Policies on Renewable Energy Sector in India 9. Incentive by the State Government 9.1 Exemption from Electricity Duty 9.2 Grant of Incentives Available to Industries 9.3 Availability of Water for Power Generation 9.4 Land on Concessional Rate Consumption of power for Captive use to be exempted from Electricity 50% for a period of 7 years from COD. To be treated as eligible industry under the scheme administered by Industries Department and incentives available to industrial units under such scheme to be available to the Producer. Allowed to use water from Water Resource Department (WRD) for power generation. In case of use of ground water, permission to be obtained from Ground Water Department/ WRD. Producer to intimate estimated water requirement to RREC along with source of water. Modification(s) if any, in the existing canal system to be done by WRD at the cost of power producer. Ground water department to accord similar status to Biomass power Plant using air cooled technology as granted to drinking water scheme while granting NOC for drilling bore well/ tube well for fulfilling water requirement of the projects Government land to be allotted to Producer at concessional rate of 10% of District Level Committee (DLC) rates. 10. Nodal Agency Rajasthan Renewal Energy Corporation (RREC) be Nodal Agency to play the role of facilitator for: (i) Execution of PPA/WBA with RVPN/ Discoms; (ii) Loans from IREDA/PFC/REC/Financial Institutions/ Commercial Banks; (iii) Allotment of revenue land; (iv) Water allocation from concerned department; (v) Approval of power evacuation plan and allocation of bays etc. (vi) Arranging other statutory clearances/ approvals; (vii) Various clearances related to energy plantation for use as supplementary fuel in Biomass Power Plant. 11. Registration of Power Project Biomass project up to 20 MW capacity to be eligible. Provided that project of less than 5 MW capacity can be set up within the reserved area of any plant capacity of 5 MW and more with the permission of RREC. Further no area to be kept reserved for projects less than 5 MW. Producer to submit application with RREC in the prescribed Performa (Form- A) appended with policy as Appendix F along with the required documents as applicable. (i) Certified copy of the memorandum & Article of Association of the Company. (ii) Certified copy of the registration certificate. (iii) Certified copy of the partnership deed. (iv) Certified copy of the Authority conferring powers on the person(s) who are competent to execute the MOU/ the agreement with GoRI RREC/ RVPN/ DISCOM. (v) Biomass Assessment Report. (vi) Pre Feasibility Report (PFR)/ Detailed Project Report (DPR). (vii) Processing fee in the form of DD payable to RREC at Jaipur. (viii) Annual report of the Company for last three years. Producer to deposit Rs per MW along with application with RREC towards processing fee, which is not refundable. Service taxes and cess etc payable extra as applicable. RREC to issue acceptance to the project within one month from the date of receipt of complete application. If Power producer submit an application for a specific area without PFR/ DPR and Biomass assessment report, an application registration number (ARN) will be given by RREC and area will be booked for that power producer. On submission of DPR and Biomass assessment report within 6 months from the date of registration of application, project will be registered with RREC. If DPR and Biomass Assessment Report are not submitted within the stipulated period of 6 months the application shall be deemed to be cancelled and that specific reserved area to be free for any other power producer.

3 Approval of Power Projects 13. Reservation of Area for Biomass Power Plants 14. Fuel for Biomass Power Plant If Producer wants to change the location of power plant due to insufficient availability of Biomass, the application for change to be given within 3 months from the date of submission of application (ARN). RREC to reserve new available area within 15 days, but DPR and Biomass assessment report for new site have to be submitted within 8 months of the date of allotment of ARN, otherwise application would deemed to be cancelled. Biomass Power plants commissioned under earlier policies of State Government shall continue to be governed by the relevant policies in operation at the time of commissioning of the project. Plant for captive use without using State grid has to register the project with RREC and to take approval of the State Government for setting up the project. Site for Biomass power plant to be chosen by the Producer after ascertaining availability of Biomass, required water and power evacuation facilities etc. RREC to forward land allotment application, grid interfacing plan, water requirement etc to the concerned authorities. Private land to be procured by the Producer directly from the private parties. Project meeting the following requirement to be considered as in principle cleared project. (i) For Government land, the land allotment is approved by the Revenue Department. (ii) For private land, the land has been procured by Power producer & land conversion done by the competent authority. (iii) Grid interfacing arrangement approved by RVPN/Discom. (iv) Allocation of water is approved by the concerned Department. The In principle cleared project proposals meeting the above requirements to be put up for single window clearance before the State Level Empowered Committee (SLEC) headed by Chief Secretary. No other Biomass Power Projects to be permitted within the reserved area of existing/ approved/ earlier registered projects as specified under: Capacity in MW Area Reserved (Radius in km] More than 5 and up to More than 7.5 and up to More than 10 and up to More than 12.5 and up to More than 15 and up to Provided that: (a) State Government shall have the right to review the Biomass availability and accordingly reserve the right to change the reservation area. (b) The reservation of area for plants commissioned/ approved and registered under earlier policies to be governed by the provisions as specified above provided that such reservation of already commissioned / approved and registered power plants does not overlap with the reserved area of any other power plants commissioned/ approved and registered under any policy. In the event of overlapping of reserved areas, the area reservation shall continue to be governed by the respective policy under which the same is registered. Biomass, i.e., forestry based & agro based industrial residues, energy plantation, forestry and agro-residues to be utilized as fuel for Biomass power project. Biomass produced within Rajasthan such as Wheat husk, Millet husk, Barley husk, Jwar husk etc. not allowed to be used as fuel. As per RERC order dated , Biomass producers to be allowed to use fossil fuel (such as coal, lignite, natural gas, municipal waste) up to 15% during the lean period in some years. 15. Security Deposit Producers to deposit security amount Rs.1 lakh/mw within 2 months from the date of issue of PRN. Security amount to be refunded to the power producer within 2 months of commissioning of the project after recovery of penalty if any.

4 240 Compendium of State Government Policies on Renewable Energy Sector in India 16. Time frame for Completion of Different Activities subject to Force Majeure Condition Deposit of security amount (Rs.1 lakh/ MW) - within 2 months from the date of issue of PRN. Finalization of land, power evacuation plan and availability of water - within 4 months from the date of issue of PRN For non compliance of above condition, the extension in time limit to be granted on submission of application to RERC along with extension fee as follows: - For extension up to 2 months Rs.15000/- per MW - For extension of more than 2 months up to 4 Rs.25000/-per MW - No further extension beyond this limit and- project to be treated as cancelled and security deposit to be refunded by RREC within 15 days of expiry of time limit Producer to commission the project within 24 months from the date of approval of the project. However extension in time schedule to be granted by SLEC on case to case basis after depositing penalty amount as under: (a) For delay up to 3 months Rs.25,000/- per MW (b) For delay more than 3 months but up to 6 months Rs.50,000/- per MW (c) For delay more than 6 months but up to 9 months Rs.75,000/- per MW (d) For delay more than 9 months Rs. 1,00,000/-per MW 17. Price of Power and Other Charges 18. Promotion of Prosopis- Juliflora / other Energy Plantation on Govt. land for use as Supplementary Fuel in Biomass Power Plants Power Producer to furnish monthly progress/status report of project from the date of approval of the project. Non compliance leads to forfeiting of security money and cancellation of project approval. Copy of work order along with cost, delivery schedule of supplies, civil works execution and erection & commissioning schedule to be supplied by the producer within 3 months of SLEC approval. Financial closure to be completed within 4 months from the SLEC approval Incentives for early completion as per RERC tariff order. After completion of the project and before commissioning, producer to furnish the complete up dated project report. Representatives of RREC to be present during commissioning of the project and commissioning report to be issued by RREC. Obligation of the Power Producer to be excused for the period of force majeure. Price of power to be sold by the power producer to consumer/ licensee other than Discoms to be determined by the mutual understanding/ agreement between seller and purchaser. Price of power to be sold to Discoms and other charges/ conditions to be specified by the Commission. The feed in tariff and other charges for mustard husk based project for F.Y & to be as per Appendix-A appended with the policy. Power producer intending to set up Biomass power project with non mustard Biomass including Prosopis-Juliflora as a primary fuel source, to seek separate tariff determination by the Commission. Categories of land available for development of Prosopis- Juliflora/ other Energy Plantation: (i) Degraded forest land through JFM committee. (ii) Govt, waste land/barren land/ saline land, Panchayat waste/barren land/ saline land through concerned Gram-Panchayat. Prosopis- Juliflora/ other Energy Plantation on private land: Developer may develop Prosopis- Juliflora/ other Energy Plantation on private Khatidari land to be obtained on lease basis for 30 years or purchase land which is barren and unutilized for use as supplementary fuel for generation of electricity from Biomass power plant in excess of ceiling limit prescribed in the Ceiling Act, Eligibility Criteria Facility available to Power plant who intends to supply 100% to State Discoms and those Power plants which are commissioned under earlier policies of the State Govt, and are supplying 100% power to State Discoms Identification of Suitable Land (i) Eligible producer to identify suitable land for development of Prosopis- Juliflora/ other Energy Plantation within the reserved area of power plant registered with RREC after approval of the project. (ii) Maximum 500 Hectare/ MW land in all categories to be permissible for development of Prosopis- Juliflora/ other Energy Plantation.

5 Application for Permission for Prosopis-Juliflora/ other Energy Plantation on the Identified Land 18.4 District Level Empowered Committee (DLEC) (i) Eligible producer to apply to RREC for identified land for development of Prosopis- Juliflora / other Energy Plantation in the prescribed format Appendix-G of the policy (ii) For non forest land producer to furnish resolution of the concerned Gram Panchayat in the prescribed format Appendix-B of the policy (iii) For degraded forest land producer to furnish resolution of the concerned JFM committee in the prescribed format Appendix-C of the policy A committee under the Chairmanship of District Collector and members of concerned departments to be constituted Grant of Permission * Land to be made available to the Concerned Gram Panchayat/ JFM committee for a period of 20 years and can be extended by DLEC for a period of another 10 years * After approval of DLEC, a tripartite agreement between concerned Gram Panchayat, Zilla Parishad (CEO) and Power Producer to be executed with respect to the identified land in the format at Appendix-D of Policy. * For degraded forest land a tripartite agreement to be executed between JFM committee, Forest department and Power Producer in the format at Appendix-E of Policy. * The produce of approved land to be made available to Biomass Power Producer by the Gram Panchayat /JFM committee on the price as per terms and condition of the agreement Determination of Sale Price by DLEC 18.7 One time Uprooting/ Harvesting of Prosopis-Juliflora from Degraded Forest Land 18.8 One time Uprooting/ Harvesting of Prosopis-Juliflora from Government/ Panchayat Land 18.9 Withdrawal of Permission for Prosopis-Juliflora/ other Energy Plantation 19. EA-2003/ CERC/ RERC Regulation to Prevail (i) Price of Biomass produced from Prosopis- Juliflora/ other Energy Plantation to be determined by DLEC for every financial year on the basis of fuel cost prescribed by RERC (ii) Responsibility of cutting uprooting and transporting of Biomass produce from plantation site to the plant site rest with power producer. 40% of the fuel cost prescribed by RERC to be taken as cost towards cutting uprooting and transportation on lump sum basis. (iii) Producer to establish weighing facility at the plant site under the direction of DLEC. (iv) Producer to make the annual payment to Gram Panchayat /JFM committee as per the price determined at clause (ii) above in four equal quarterly installments as per schedule given in the policy. Prosopis- Juliflora grown on degraded forest land which is identified by forest department for one time uprooting/ harvesting falling within the reserved area of Biomass Power Plant to be made available to the plant on priority. Prosopis- Juliflora grown on Government/ Panchyat land which is identified by Gram Panchyat for one time uprooting/ harvesting falling within the reserved area of Biomass Power Plant to be made available to the plant on priority. If Power Producer fails to install/ commission the power plant, the permission given for development of Prosopis- Juliflora/ other Energy Plantation on the identified land and all the grants allowed above shall stand cancelled. Not withstanding anything contained in this policy the provision of the Electricity Act-2003 and the applicable CERC / RERC Regulations/ Orders issued to prevail for the purpose of implementation of this policy.