Power Minister chairs meeting on action plan to enhance investment by CPSEs in renewable energy projects

New Delhi [India], September 9 (ANI): Union Minister of Power and New and Renewable Energy RK Singh on Tuesday chaired a meeting to discuss the action plan for enhancing the investment by the power sector Central Public Sector Enterprises (CPSEs) in renewable energy (RE) projects.
According to an official release on Wednesday, it was decided in the meeting that in-principle approval will be accorded to CPSUs of Power Ministry for bidding of renewable energy power projects at the beginning of the year for a pre-determined capacity based on strength of their balance sheet.
A proposal for reducing the internal rate of return (IRR) for the renewable energy sector from 10 per cent to 8 per cent will be taken up with the Finance Ministry and the matter of enhancement of the power of investment approval of Board of mini Ratna CPSUs for an upward revision will be taken up with Department of Public Enterprises.
The release said that the bundling of RE projects with new or untied tariff hydro projects will be allowed so as to bring down the tariff of hydropower to consumers and a proposal for waiver of transmission charges for RE capacity under flexibility scheme will be considered.
It was deliberated to allocate the offered capacity amongst CPSUs through the bidding process in some form on an equitable basis for allocation under CPSU Scheme.
MNRE will examine allowing Solar Power Park Developer/Individual Promoters to participate in the tariff-based competitive bidding (TBCB) process. (ANI)