Tamil Nadu Revises RPO Target Adds Wind, Hybrid, and Distributed Energy To Mix

The Tamil Nadu Electricity Regulatory Commission (TNERC) has recently revised the state’s Renewable Energy Purchase Obligation (RPO), updating compliance requirements for captive users. 

The new regulations supersede earlier notifications and set clear targets for renewable consumption. Any deviation from these targets will be treated as non-compliance, subject to penalties as per the rules.

Key Updates in the Regulation

As per the notification, the revised RPO now includes separate targets for wind, hybrid renewable energy, distributed renewable energy (DRE), and other renewable energy projects, enhancing clarity for compliance and reporting.

Wind energy target

Under the updated rules, Tamil Nadu's wind energy targets have been set at 0.67% for 2024-25 and 3.48% for 2029-30. The regulation specifies that compliance may be met using energy from Wind Power Projects (WPPs) commissioned after 31 March 2024.

The regulation also introduces flexibility in meeting shortfalls:

• Any shortfall in wind energy consumption in a year may be offset with excess hydro renewable energy, and vice versa.

• Any excess consumption in either wind or hydro energy components may be considered part of the other renewable energy component for the year.

Distributed Renewable Energy (DRE) Compliance

The revised notification also said that the distributed renewable energy component must be sourced only from projects below 10 MW, including solar installations under net metering, gross metering, and other notified configurations. Compliance will generally be measured in energy units (kWh). For cases where generation data is unavailable:

• The reported capacity of designated consumers (under the Energy Conservation Act, 2001) will be converted into energy using a multiplier of 4 kWh per kW per day.

• For DRE installations by multiple prosumers in a Distribution Licensee area, where generation data is missing, generated units will be calculated using the same 4 kWh/day multiplier for RPO accounting.