8.2.1. Amendments in Tariff Policy

The Union Cabinet approved proposal for amendments in the Tariff Policy in January, 2016. It will provide the motivation to harness hydro as well as renewable capacity for energy security of the country.

Main amendments are as follows:

♤ Promotion of Renewable Generation Obligation (RGO).

♤ Compulsory procurement by Discoms from waste-to-energy plants.

♤ Thermal Power Plants within 50kms of sewage treatment facilities to use treated sewage water.

♤ Hydro projects continued to be exempted from competitive bidding upto 15th August 2022.

♤ Use of Smart meters in a phased manner to enable‘Time of Day’metering.

♤ Inter-State and Intra-State transmission lines only through competitive bidding.

♤ Procurement of power from coal washery reject based plants of PSUs or their JVs on regulated tariff.

♤ Expansion of capacity of IPPs (on regulated tariff) from 50% to 100% of existing capacity.