Power ministry to mandate renewable power generation obligation
POWER & RENEWABLE ENERGY

Power ministry to mandate renewable power generation obligation

The Power Ministry plans to make it mandatory for any thermal power producer planning to install a new generating capacity after April 1, 2024, to either set up or acquire renewable energy capacity equivalent to it. This will increase the country's capacity for renewable energy.

It intends to introduce an amendment to the Tariff Policy 2016 to incorporate the "renewable generation obligation (RGO)" provision in order to put this into practise.

In a draught note that was released on November 7 and distributed to stakeholders, it requested feedback on the plan within 21 days of that date.

The Power Ministry has recommended that as part of it, each new generating firm planning to put up a coal or thermal-based capacity after April 1, 2024, would also be required to create or acquire a comparable amount of renewable energy.

“In order to promote renewable energy sources, any generating company proposing to establish a coal or lignite-based thermal generation station after a specified date shall be required to establish such renewable energy equivalent to such capacity, as may be prescribed by the Central government from time to time after due consultation with stakeholders,” the statement read.

The capacity of renewable energy that must be established, acquired, or provided by new thermal generating stations based on coal or lignite must be at least 25% of the capacity of thermal generating stations being established, it was further added.

The project aims to reach the goal of producing 50% of electricity from non-fossil fuels.

See also:
ReNew Power to invest Rs.300 bn on scaling
Government identifies 10 states for green hydrogen manufacturing


The Power Ministry plans to make it mandatory for any thermal power producer planning to install a new generating capacity after April 1, 2024, to either set up or acquire renewable energy capacity equivalent to it. This will increase the country's capacity for renewable energy. It intends to introduce an amendment to the Tariff Policy 2016 to incorporate the renewable generation obligation (RGO) provision in order to put this into practise. In a draught note that was released on November 7 and distributed to stakeholders, it requested feedback on the plan within 21 days of that date. The Power Ministry has recommended that as part of it, each new generating firm planning to put up a coal or thermal-based capacity after April 1, 2024, would also be required to create or acquire a comparable amount of renewable energy. “In order to promote renewable energy sources, any generating company proposing to establish a coal or lignite-based thermal generation station after a specified date shall be required to establish such renewable energy equivalent to such capacity, as may be prescribed by the Central government from time to time after due consultation with stakeholders,” the statement read. The capacity of renewable energy that must be established, acquired, or provided by new thermal generating stations based on coal or lignite must be at least 25% of the capacity of thermal generating stations being established, it was further added. The project aims to reach the goal of producing 50% of electricity from non-fossil fuels. See also: ReNew Power to invest Rs.300 bn on scalingGovernment identifies 10 states for green hydrogen manufacturing

Next Story
Infrastructure Urban

3i Infotech Reports Rs 7.25 Bn Revenue for FY25

3i Infotech, a leading provider of digital transformation, technology services and technology solutions, announced its consolidated financial results for the fourth quarter and full year FY25, ended on March 31st, 2025. The company maintained its growth momentum, displaying consistent progress for the 3rd consecutive quarter.In Q4 FY25, 3i Infotech reported revenue of Rs 1.87 billion, reflecting steady performance compared to Rs 1.81 billion in Q3 FY25 and Rs 1.97 billion in Q4 FY24. The company delivered strong profitability improvements, with gross margin growing by 14.8 per cent Q-o-Q and 1..

Next Story
Infrastructure Urban

Emerald Finance Joins Baya PTE to Boost SME Bill Discounting

Emerald Finance is a dynamic company offering a spectrum of financial products and services including its flagship Earned Wage Access (EWA) in India, has entered into a strategic partnership with Singapore-based Baya PTE through its Indian subsidiary. This collaboration aims to strengthen bill discounting services for Small and Medium Enterprises (SMEs), enabling faster access to working capital and improved cash flow management.The initiative is designed to support SMEs that supply to large corporates such as JSW Steel, Delhivery, and PVR INOX, among others. By facilitating timely invoice dis..

Next Story
Infrastructure Urban

BLS E-Services Crosses Rs 5 Bn Revenue Mark in FY25

BLS E-Services, a technology-enabled digital service provider, announced its audited consolidated financial results for the quarter and full year period ended 31 March 2025.Speaking about the performance and recent updates, Shikhar Aggarwal, Chairman, BLS E- Services said, “We are delighted to report a remarkable performance in FY25, as we achieved several milestones during the fiscal year. FY25 marked our highest-ever financial performance, as we surpassed Rs 5 billion milestone in Total Income during the year, which was reported at Rs 5.45 billion, a notable YoY growth of 76 per cent. The ..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?