Market trends

REC trade in FY2021 likely to fall by INR 6-7 billion In June 2020, the Central Electricity Regulatory Commission (CERC) published an order revising the prices of Renewable Energy Certificates (RECs). CERC removed floor price and proposes new Forbearance price of INR 1000 for solar and non-solar RECs. The new prices will be applicable to all RECs issued after April 01, 2017. Considering the historical price trend of RECs, this is the fourth revision in floor and forbearance prices by…

Recent rooftop solar policies in India (Jan-Mar 2020) Various rooftop solar policies, regulations and notifications are released in last quarter in India (Q1 2020). Brief summary of the notifications along with our assessment are highlighted below: Kerala Electricity Regulatory Commission Issues Renewable Energy and Net Metering Regulations, 2020 Under these regulations, KSERC provides the RPO trajectory for next 3 years and also notifies the net metering regulations from renewable energy sources: Financial Year RPO % (Non-solar) RPO % (Solar) Total…

Impact of COVID-19 pandemic on the Indian renewable sector In the wake of the COVID-19 pandemic, the Indian renewable sector is dealing with rising uncertainties. Because of lockdown, the sector is grappled with falling power demand, poor health of DISCOMs, supply chain disruption for under-construction projects, shortfall of labor, delays in equipment supplies, delay in land acquisition activities, etc. In Q1 2020, the solar and wind installations dropped significantly with addition of only 720 MW of solar and 188 MW…

FY2020 solar and wind installations fell short of the target by 26% As per MNRE, in FY2020 (April 2019 till March 2020), about 5.7 GW of new utility-scale solar capacity was added in India. This is about 24% lesser than the government target of 7.5 GW set for this year. Compared to previous year installations, FY2020 installations are also marginally lesser (~1%). In FY2020, Rajasthan added a maximum capacity of 1.8 GW, followed by Tamil Nadu with 1.3 GW addition…