Electricity Generated by Coal-based Power Plants Grows by 10% between 2021-22 and 2022-23

The Union Minister for Power and New & Renewable Energy has informed that the electricity generated by coal-based power plants in the country during the last two years 2021-22 and 2022-23 is as given below.

There is no decline in coal-based electricity generation in the year 2022-23 over year 2021-22.

There is no report of shut down of any coal-based power plant due to shortage of coal during 2021-22 and 2022-23.

The Minister informed that the details of the steps being taken by the Government to reduce the dependency on coal-based power plants are as given below:

1. Renewable purchase obligations (RPO): Renewable Purchase Obligation (RPO) and Energy Storage Obligation (ESO) order has been issued by Ministry of Power (MoP) wherein trajectory for RPO for wind, Hydro Purchase Obligation (HPO) and other RPO as well as ESO targets as a percentage of total consumption of electricity has been laid down for the years up to 2029- 30.
2. For encouraging RE capacity addition, MoP has issued orders for Waiver of Inter-State Transmission Charges on transmission of the electricity generated from Solar, Wind, Green Hydrogen/Green Ammonia, and Pump Storage Plants & Energy Storage Sources.
3. MoP on 25th Oct, 2021 has notified “Electricity (Promotion of Generation of Electricity from Must-Run Power Plant) Rules, 2021” which mandate that Renewable energy projects including but not limited to wind, solar, wind-solar hybrid, hydropower sources, must be considered must-run projects as per the rules. These projects shall not be subjected to curtailment or regulation of generation or supply of electricity on account of merit order dispatch or any other commercial consideration
4. For promoting the use of Renewable Energy and replacing the costlier thermal/ hydro power with RE, a revised scheme for “Flexibility in Generation and Scheduling of Thermal/Hydro Power Stations through bundling with Renewable Energy and Storage Power” was issued by MoP on 12th April 2022.
5. MoP notified on 10th March 2022 “Guidelines for Procurement and Utilization of Battery Energy Storage Systems(BESS) as part of Generation, Transmission and Distribution assets, along with Ancillary Services” with the objectives, inter-alia, to facilitate procurement of BESS as part of individual RE power projects or separately for addressing the variability/firming power supply/increasing energy output / extending the time of supply from an individual RE project or a portfolio of RE projects, augmentation of existing RE Projects and/or to provide ancillary, grid support and flexibility services for the grid and also to facilitate procurement of BESS for optimum utilization of transmission and distribution network.
6. Ministry of Power vide notification dated 27th February, 2023, has mandated the Renewable Generation Obligation as per Revised Tariff Policy, 2016. The resolution, inter-alia, mandates that any generating company establishing a coal/lignite-based thermal generating station (except a captive ones fulfilling Renewable Purchase Obligations), and having the Commercial Operation Date (COD) of the project on or after 1st April 2023 shall be required to establish renewable energy generating capacity (in MW) i.e. Renewable Generation Obligation (RGO) of a minimum of forty percent (40%) of the capacity (in MW) of a coal/lignite-based thermal generating station or procure and supply renewable energy equivalent to such capacity.
7. Establishment of Renewable Energy Management Centres (REMCs): To facilitate smooth integration of growing RE capacity into the Grid with RE forecasting and scheduling tools, 11 number of REMCs and one Energy Management Centre (EMC) have been commissioned.
8. To encourage the setting up of “Off Shore Wind Projects”, Government of India on 9th June, 2022 decided to bid out offshore wind energy blocks equivalent to a project capacity of 4.0 GW per year for a period of three years starting with the FY 22-23 for development off the coast of Tamil Nadu and Gujarat for sale of power through open access /captive / bi-lateral third party sale / merchant sale. Subsequently a project capacity of 5 GW will be bid out every year for a period of five years i.e. up till FY 29-30.

9. Permitting Foreign Direct Investment (FDI) up to 100 percent under the automatic route.
10. Setting up of Ultra Mega Renewable Energy Parks to provide land and transmission to RE developers for installation of RE projects at large scale.
11. Schemes such as Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM), Solar Rooftop Phase II, 12000 MW CPSU Scheme Phase II, etc.
12. Laying of new transmission lines and creating new sub-station capacity under the Green Energy Corridor Scheme for evacuation of renewable power.

13. Notification of standards for deployment of solar photovoltaic system/devices.
14. Setting up of Project Development Cell for attracting and facilitating investments.
15. Notification of Promoting Renewable Energy through Green Energy Open Access Rules 2022.
16. Launch of Green Term Ahead Market (GTAM) to facilitate sale of Renewable Energy Power through exchanges.

This information has been given by the Union Minister for Power and New & Renewable Energy R. K. Singh, in a written reply to a question, in Rajya Sabha on August 8, 2023.