Gujarat, Maharashtra, Rajasthan, Bihar and Jharkhand together want to buy 3,000 MW of power under a government scheme to promote purchases from plants without PPAs. Under the scheme, PFC Consulting will conduct the auction for 2,500 MW capacity and PTC India will sign three-year (mid-term) PPAs with successful bidders and contract with discoms to sell electricity.
The development comes at a time when states are buying more power from the spot markets, indicating a rise in demand. The Ministry of Power has recently suggested to make it mandatory for electricity distribution companies (discoms) to tie up long- or medium-term PPAs to meet their ‘annual average power requirement’ in their areas of supply.
Short-term power volumes grew 8% year-on-year to about 129 billion units, comprising about 15 GW capacity in FY18, and the spot market trading at the Indian Energy Exchange grew at 14%, trading more than 46 billion units from 5.3 GW of power plants. Read More
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