PNGRB issues PNGRB (Technical Standards and Specifications including Safety Standards for City or Local Natural Gas Distribution Networks) Regulations, 2008

  • In exercise of the powers conferred by Section 61 of the Petroleum and Natural Gas Regulatory Board Act, 2006 (19 of 2006), the Petroleum and Natural Gas Regulatory Board (PNGRB) has made the following regulations to further amend the PNGRB (Technical Standards and Specifications including Safety Standards for City or Local Natural Gas Distribution Networks) Regulations, 2008.
  • The said regulations, amended on August 27, 2021, shall be known as the Petroleum and Natural Gas Regulatory Board (Technical Standards and Specifications including Safety Standards for City or Local Natural Gas Distribution Networks) Amendment Regulations, 2021.
  • In the PNGRB (Technical Standards and Specifications including Safety Standards for City or Local Natural Gas Distribution Networks) Regulations, 2008, in Annexure-II under the heading 'Metering Equipment', after the entry beginning with the letters and numbers 'ISO 17089-2' and ending with the words 'industrial applications', the following entries shall be inserted:
    • AGA Report No. 11 API MPMS Chapter 14.9, Measurement of Natural Gas by Coriolis Meter
    • IS 15672: Flow measurement of natural gas and fluids by Coriolis Meters
    • ISO 10790: Measurement of fluid flow in closed conduits - Guidance to the selection, installation and use of Coriolis Flowmeters (mass flow, density and volume flow measurements)

RERC issues Draft RERC (Renewable Energy Obligation) (Seventh Amendment) Regulations, 2021

  • Rajasthan Electricity Regulatory Commission (RERC) has issued Draft 'Renewable Energy Obligation (Seventh Amendment) Regulations 2021,' (Draft Regulations) for comments from interested persons vide public notice in August 2021. The Draft Regulations have been proposed pursuant to the powers conferred under the Sections 86(1)(e) and 181 of the Electricity Act, 2003 and all other powers enabling it in this behalf.
  • The Commission vide its Fifth Amendment in the Non-Solar Renewable Purchase Obligations (RPO) Regulations had specified the RPO targets up to FY 2023-24, but the Commission observed that several other SERCs (such as Uttar Pradesh SERC, Punjab SERC, Haryana SERC, Himachal Pradesh SERC and Chhattisgarh SERC) have also incorporated Hydropower Purchase Obligations (HPO) in their RPO Regulations where most of the SERCs have adopted the HPO trajectory prescribed by Ministry of Power (MOP).
  • Therefore, to encourage the hydropower production, the Commission considers it appropriate to specify HPO notified as a separate entity within Non-Solar RPO. In the proposed Amendment, the Commission considers it appropriate to suitably adopt the HPO trajectory prescribed by MoP upto FY 2023-24.
  • The last date for submitting comments/suggestions with the Receiving Officer of the Rajasthan Electricity Regulatory Commission was September 23, 2021.

Ministry of Power issues Draft Electricity (Promoting Renewable Energy through Green Energy Open Access) Rules, 2021

  • On August 16, 2021, Ministry of Power (MOP) issued the Draft Electricity (Promoting Renewable Energy through Green Energy Open Access) Rules, 2021 (Draft Rules) and sought comments from stakeholders within 30 days of the date of issuance of the said rules.
  • These Draft Rules are proposed for purchase and consumption of green energy, including the energy from Waste-to-Energy plants. The entities covered under the Draft Rules are all consumers who have contracted demand or sanctioned load of 100 kW or more, except for captive consumption.
  • The Draft Rules have the following subheads:
    • Renewable Purchase Obligation (RPO): As per the Draft Rules, a uniform RPO will apply to all obligated entities such as distribution licensees (DISCOMs), open access consumers and captive power consumers. Any entity, whether obligated or not, may choose to purchase and consume renewable energy based on their requirements through the following methods:
      • Self-generation from renewable energy sources
      • By procuring renewable energy through Open Access from any Developer with which the entity enters into an agreement
      • By requisition from distribution licensee
      • Purchase of renewable energy certificates
      • Purchase of Green Hydrogen
    • Green Energy Open Access: The Appropriate Commission will formulate the regulations by following the Draft Rules to provide 'Green Energy Open Access' to consumers willing to consume the green energy.
    • Nodal Agency: The Central Government will notify the Central Nodal Agency (Agency), which will operate a single-window Green Energy Open Access system for renewable energy. The Agency will set up a 'centralized registry' for all Green Energy Open Access consumers.
    • Procedure for grant of Green Energy Open Access: The forum of regulators will prepare a common application format for Green Energy Open Access in 60 days, which will be adopted by the Appropriate Commission. The application will be approved within 15 days, failing which it will be considered deemed approved subject to the fulfilment of the technical requirement specified by the Appropriate Commission.
    • Banking: Banking may be permitted every month on payment of charges to compensate the DISCOMs for any additional costs – the Appropriate Commission will determine these charges. The quantity of banked energy by the Green Energy Open Access consumers will not be more than 10% of the consumers' total annual consumption of electricity from DISCOMs.
    • Cross Subsidy Surcharge (CSS): CSS will be levied on Open Access consumers as per the provisions of the Tariff Policy. However, CSS for Open A ccess consumers purchasing energy from renewable energy projects will not be increased during the 12 years from the date of commissioning of the project by more than 50% of the surcharge fixed for the year in which open access is granted. CSS and additional surcharge will not be applicable if the energy generated from a Waste-To-Energy project is supplied to the open access consumer.

Ministry of Power issues Draft Electricity (Late Payment Surcharge) Amendment Rules, 2021

  • Ministry of Power (MoP) on August 19, 2021, issued the Draft Electricity (Late Payment Surcharge) Amendment Rules, 2021 (LPSC Amendment Rules) and invited comments from the stakeholders on the same. The LPSC Amendment Rules have beens proposed with an intention to reduce the burden on the Distribution Licensee (DISCOMs) in order to reduce the retail tariff for electricity consumers. Under the LPSC Amendment Rules, the generating companies are given an option to sell power to a third party and recover their cost, thereby helping reduce the fixed cost burden of the DISCOMs.
  • The LPSC Amendment Rules provide for levying of Late Payment Surcharge on overdue payments of distribution licensees to a generating company or a trading licensee. It also provides for adjustment of any payment by the distribution licensee first towards the Late Payment Surcharge and then towards monthly charges starting from the longest overdue bill.
  • The LPSC Amendment Rules propose that the payments by the distribution licensee must be first made against oldest procurement followed by the payment for subsequent procurements. This will ensure that all old payments are done before payment for any new procurement is made.
  • If a distribution licensee has any payment, including Late Payment Surcharge, outstanding after the expiry of seven months from the due date as prescribed in the Power Purchase Agreement, the generating company may sell power to any consumer or any other licensee or power exchanges, for the period of such default. In such cases, the generating company will retain the claim over the distribution licensee for the fixed charges and capacity charges, after giving notice of 15 days for such claims.

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