Energy regulator asks Delhi to not procure energy from NTPC’s outdated vegetation

Delhi Electrical energy Regulatory Fee (DERC) has requested the state authorities to deallocate allocate Delhi’s share of 206 megawatt (MW) energy from NTPC’s gas-based producing stations, on condition that energy from these models are very costly. Deallocation would imply stopping the procurement of energy from the models.

The gas-based stations in query are Anta, Dadri and the Auraiya energy vegetation. These vegetation have both accomplished or are nearing the top of their 25 years of operations.

Based on the letter dated December 17, reviewed by FE, the DERC has additionally acknowledged that Delhi ought to proceed procuring 98 MW energy from NTPC’s Unchahar, Kahalgaon and Farakka energy vegetation owing to their decrease provide prices. These models have accomplished 25 years of operations as properly.

In July 2021, BSES — the Reliance Infrastructure-led energy distributing firm (discom) within the nationwide capital — wished to relinquish the electrical energy provide contract from NTPC’s Dadri-I coal-based energy plant because the plant had accomplished 25 years of operations. The Union energy ministry had clarified that discoms have the liberty to decide on the precise vegetation, crossing 25 years, from which they wish to cease sourcing energy. NTPC has moved the Supreme Court docket concerning the give up of energy from the Dadri-I coal-based energy plant.

NTPC had claimed that BSES can’t object to procuring energy below composite agreements from the Dadri-I plant citing outdated age whereas persevering with to avail electrical energy from Singrauli and Rihand vegetation, which had accomplished 25 years even earlier than Dadri-I.

Underneath contractual necessities, discoms must proceed paying the mounted price to thermal energy vegetation to recuperate the tasks’ capital expenditure and canopy debt obligations even when they don’t procure electrical energy. Based on a report by Discussion board of Regulators, discoms in 12 states within the nation cumulatively pay a hefty `17,500 crore a yr to turbines for the facility they don’t use.