Delhi Proposes Draft RPO Rules and REC Framework

14 Jun 2024 CW Team

Delhi has introduced draft regulations aimed at bolstering its Renewable Purchase Obligations (RPO) and Renewable Energy Certificates (REC) framework, marking a significant move towards enhancing renewable energy adoption in the capital city. The proposed rules are designed to strengthen compliance mechanisms and promote greater integration of renewable energy sources into Delhi's energy mix.

Under the draft regulations, electricity distribution companies (DISCOMs) and large consumers will be mandated to fulfil a specified percentage of their energy requirements through renewable sources. This initiative is expected to drive investment in clean energy projects and reduce dependence on conventional fossil fuels, aligning with Delhi's commitment to sustainability and environmental conservation.

Additionally, the framework outlines guidelines for trading REC, facilitating a transparent market for renewable energy certificates. REC enables entities to meet their RPO targets by purchasing certificates representing renewable energy generated and injected into the grid.

The draft rules emphasise accountability and transparency in renewable energy procurement and consumption, aiming to create a conducive environment for renewable energy investment and development. Stakeholders, including industry experts and environmental advocates, are encouraged to provide feedback to refine the regulations further before their formal implementation.

In conclusion, Delhi's initiative to draft comprehensive RPO rules and REC framework underscores its proactive approach towards promoting renewable energy adoption and sustainability. By setting clear targets and mechanisms, the capital aims to accelerate its transition towards a cleaner and more resilient energy future.

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