CERC Grants Transmission License For Renewable Energy Integration In Karnataka

Summary

Koppal II Gadag II Transmission Limited (now POWERGRID Koppal Gadag Transmission Limited) applied for a transmission license to establish an interstate transmission system in Karnataka, India. The project aimed to integrate renewable energy zones in Koppal and Gadag. The Central Electricity Regulatory Commission (CERC) reviewed the application, addressing concerns about regulatory approvals and compliance with relevant guidelines and regulations. The CERC acknowledged the project’s alignment with India’s renewable energy goals and the approvals obtained from the National Committee on Transmission (NCT) and the Central Government. After considering the submissions of all parties involved, the CERC decided to grant the transmission license to POWERGRID Koppal Gadag Transmission Limited.

Case Timeline

• 27th February 2024: Initial hearing, during which the petitioner requested the commission to condone the delay in filing the petition.
• 20th March 2024: Second hearing, during which the respondent, TANGEDCO, raised concerns about the petitioner not complying with the 2010 Regulatory Approval Regulations.
• 19th April 2024: Third hearing, during which the parties presented their arguments and were allowed to file written submissions.
• 29th May 2024: Fourth hearing, during which the matter was relisted due to a change in the commission’s membership.
• 2nd July 2024: The CERC issued its order, granting the transmission license to the petitioner.

Issues Raised

• Delay in filing the petition by the petitioner.
• Non-compliance with the 2010 Regulatory Approval Regulations by the petitioner.
• Need for regulatory approval for the transmission scheme.
• Compliance with the Electricity (Transmission System Planning, Development, and Recovery of Inter-State Transmission Charges) Rules, 2021.

Appellant’s Arguments and Respondent’s Arguments

• Appellant (Koppal II Gadag II Transmission Limited): Argued that the delay in filing the petition was due to a technical issue and should be condoned. They also asserted that they had complied with all necessary regulations and guidelines, including obtaining approvals from the NCT and the Central Government.
• Respondent (TANGEDCO): Raised concerns about the petitioner’s compliance with the 2010 Regulatory Approval Regulations and the validity of the Transmission Service Agreement (TSA) between the petitioner and the Central Transmission Utility of India Limited (CTUIL). They argued that the petitioner should have obtained regulatory approval for the transmission scheme.

Order

The CERC, after considering the submissions of both parties and reviewing relevant regulations and guidelines, decided to:

• Condone the delay in filing the petition by the petitioner.
• Grant the transmission license to POWERGRID Koppal Gadag Transmission Limited for the establishment of the interstate transmission system in Karnataka.

Analysis

The CERC’s decision to grant the transmission license was based on several factors:

• The project aligned with India’s renewable energy goals and would facilitate the integration of renewable energy zones in Koppal and Gadag.
• The petitioner had obtained the necessary approvals from the NCT and the Central Government, as required by the Electricity (Transmission System Planning, Development, and Recovery of Inter-State Transmission Charges) Rules, 2021.
• The CERC acknowledged the petitioner’s compliance with the statutory framework in force and considered the project’s potential benefits for the region’s power transmission infrastructure.

The CERC’s decision reflects its commitment to promoting renewable energy development in India while ensuring compliance with regulatory requirements. The project is expected to contribute to India’s efforts to increase the share of renewable energy in its energy mix and enhance the reliability and efficiency of the power transmission system in Karnataka.