Sunday, May 22, 2022

Cabinet grants extension to 10 mega power projects for submission of final certificates

Must read

  • Extension of time period for furnishing final mega certificate will enable developers to competitively bid for future PPAs and get tax exemptions as per policy terms
  • These mega power projects will be expected to participate in bids organised by the MNRE and SECI to secure PPAs

New Delhi: The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, has approved on Wednesday an amendment in the Mega Power Policy 2009 and has granted time extension of 36 months to identified 10 Provisional Mega certified power projects for furnishing the final Mega Certificates to the tax authorities. “Extension of time period for furnishing final mega certificate will enable developers to competitively bid for future PPAs and get tax exemptions as per policy terms. The increased liquidity will boost the overall growth of the country and also ensure the revival of various stressed power assets,” said an official statement.

Mega power projects to take part in bids to secure PPAs

The time period for the 10 provisional mega power projects, which are commissioned or partly commissioned, for furnishing the final Mega certificates to the tax authorities has been extended to 156 months instead of 120 months from the date of import. During this extended period, bids for firm power (combination of intermittent renewable energy, storage and conventional power) will be invited in co-ordination with the Ministry of New & Renewable Energy (MNRE) and Solar Energy Corporation of India Limited (SECI). 

These mega power projects will be expected to participate in such bids to secure PPAs. The Ministry of Power will also develop an alternative in this period, based on present electricity markets while ensuring that benefits are passed onto consumers in a competitive manner.

Mega power projects

Projects of capacity of 1,000 MW and more and catering power to more than one state are called mega power projects. There are 25 power projects of 32,330 MW in the country that have been identified as provisional mega power projects. 

(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)

- Advertisement -

More articles

- Advertisement -

Latest News