Kerala Commission Orders State Discom to Clarify PPA Arrangements For Wind Project

The Commission noted that both the parties need to arrive at a consensus for getting the approval of the PPA to be entered, and regarding the tariff, commercial operation date.

The Kerala State Electricity Regulatory Commission (KSERC) recently held a hearing for a petition filed by Kosamattam Finance Ltd. (KFL) regarding the project tariff period, date of commercial operation and other issues pertaining to the Power Purchase Agreement (PPA) for a 1 MW wind energy project in the state.

KFL had petitioned the KSERC requesting that the commission approve the proposed project-specific tariff of ₹6.33/kWh and declare May 21, 2018, as the date of the commercial operation for the 1 MW wind energy project developed by the company in Kerala. KFL had also requested that the KSERC direct KSEB to pay the average pooled purchase cost (APPC) of ₹3.90/kWh until the commission comes out with an order.

Based on the deliberations during the hearing, the Commission noted that both the parties need to arrive at a consensus for getting the approval of the PPA to be entered, and regarding the tariff, commercial operation date. After which they are to report back to the commission.

It also ordered KFL to submit the justification on the high capital cost claimed by it for the wind energy project along with the tax invoice and other supporting documents within 15 days of the order. The commission has also asked KSEB to clarify the treatment of transmission losses from the pooling stations to the nearest substation of KSEB, in the case of the wind farms at Ramakkelmedu and the proposed treatment of losses in the case of the 1 MW wind plant developed by the petitioner KFL.

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Recently, KSEBL issued a tender, inviting bids from domestic bidders for the appointment of EPC contractors for setting up of grid-connected solar PV power plants worth 250 kW at the Kerala University of Health Sciences (KUHS), Thrissur. The last date of bid submission is May 28, 2019, and the techno-commercial bids will be opened on the same date.