labels: power, economy - general
Government to formulate tariff plan for renewable energy news
27 April 2007

Mumbai: The government is planning to introduce a new tariff system, which would require firms generating energy through non-conventional sources to sell power to states at a reasonable price, secretary, new and renewable energy, V Subramanian, said at the second South Asian Renewable Energy Conference.

Under the system, which is prevalent in countries like Germany and Australia, a company using non-conventional sources of energy would have to transmit power to states, which are facing a deficit, for a reasonable rate and not at high prices.

"My ministry is evolving the feed in tariff system for sources of non-conventional energy, including wind and solar, and will shortly forward it to power regulatory authorities for their endorsement," Subramaniam said.

Bhutan''s ambassador Lyonpo Dago Tshering, meanwhile, invited India to form joint and bilateral cooperation in area of harnessing non-conventional energy and work out solutions for global warming and climate change.

Subramanian said SAARC countries needed to evolve a consensus for unified energy policies and forge alliances.

He said the government is targeting a fresh power generation capacity of about 10,000 MW from renewable sources such as wind during the 11th plan.

"Our 11th plan target is to add 10,000 MW of installed capacity to the grid. In the first year, we plan to add around 1,800-2,000 MW, majority of which would be through wind energy," he said.

Renewable energy need not be driven only by government policy, subsidies or initiative. The government should put up the right policies for renewable energy and let stakeholders take from there and not wait for subsidies," he said. Meanwhile, Afghanistan, the latest entrant in the South Asian Association of Regional Cooperation, invited Indian firms to participate in the country''s energy sector.

 

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Government to formulate tariff plan for renewable energy