Mercom India Clean Energy Magazine Jun 2021
Mercom India Clean Energy Magazine Jun 2021
Mercom India Clean Energy Magazine Jun 2021
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POLICY POLICY POLICY POLICY
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POLICY POLICY MARKETS TECHNOLOGY
The central electricity regulator Regulators from 12 states With the pandemic waning Researchers at Brown University
has mandated the filing of tariff have suggested measures, in Q1 2021, solar imports and have identified the weak link in
petitions on time every year. The highlighting the need for a exports soared QoQ. However, the cells and increased their
union territories that have been so coordinated effort between the commercial activities have since functionality by devising a glue
far deferring tariff determination central and state governments slowed down with the second that keeps a key interface inside
have been actively submitting the to contain high retail power wave of the Covid-19 pandemic cells from degrading
petitions tariffs
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TECHNOLOGY MARKETS MARKETS POLICY
Researchers have devised a The study by GOGLA noted that Although the pandemic has The Gujarat Electricity Regulator
rechargeable prototype of a sales of off-grid solar products in accelerated the C&I consumers’ has approved the tariffs in a
high-rise concrete structure India have been on a downward plan to go solar, developers are recent solar auction and also
mixed with short carbon fibers trend since 2018, which seems confronting slow business activity directed the DISCOM to sign
capable of storing energy to have been accelerated by the due to the policy uncertainty and PPA after adding a late payment
like a giant battery with huge Covid-19 crisis inability to close deals surcharge clause
commercial potential
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MARKETS POLICY NEWS IN BRIEF TENDERS & AUCTIONS
Mercom India Research’s Q1 The mission’s purpose is to A compilation of important This is a list of major tenders
2021 India Solar Market Update address rampant air pollution news and policy updates on and auctions from May. A
reveals large-scale solar caused by the burning of farm the Indian solar and other comprehensive list can be
projects totaling 1,749 MW were stubble and reduce the carbon clean energy technologies found on Mercom’s Tender and
added during the quarter along footprint in thermal power Auction Tracker and Alerts.
with 307 MW in rooftop solar generation
installations
T Energy Department,
Haryana, issued the draft
‘Haryana Solar Power Policy,
will be eligible for installation under
this policy. In the case of solar thermal
power projects, fossil fuel beyond the
government buildings, among others.
The regulators have to estimate the
entire cost incurred towards purchasing
2021’, and requested government ceiling allowed under the Ministry of solar power in the annual recurring
stakeholders to send their comments. New and Renewable Energy (MNRE) revenue order issued from time to time.
The new policy will supersede the will not be used. No fossil fuel will be Consumers will be allowed to set up
Haryana Solar Power Policy, 2016. allowed. projects to fulfill their RPO regardless of
The draft notification identifies their contract demand.
Haryana as an agrarian state with Renewable Purchase Obligation
several geographical constraints such The capacity installation targets for Projects for sale of power to the
as high cost and paucity of barren land the distribution companies (DISCOMs) DISCOMs below 2 MW
within its borders, with low potential will be based on the Renewable Power DISCOMs may procure power from
for wind or hydropower. It adds that the Purchase Obligation (RPO) defined distributed solar projects up to 2 MW
state must focus mainly on rooftop solar by Haryana Electricity Regulatory capacity, at pre-fixed levelized tariff as
projects and small-scale distributed Commission (HERC) from time to determined by HERC, subject to the
solar systems besides exploring the time. To achieve the solar RPO, the spare capacity available at the nearest
potential of megawatt-scale solar government plans to install large-scale substation. As per the RPO, 20% of the
projects and parks. solar projects by the Haryana Power targeted solar power purchased by
The notification adds that efforts are Generation Corporation on its land DISCOMs will be reserved for such small
being made to promote the usage of or government land, or solar parks. generators below 2 MW capacity.
solar energy with suitable incentives and Solar installations could come up on Individuals and micro, small and
policy frameworks for the agriculture canal top, canal banks, waterworks and medium enterprises with land will be
sector and the solarization of electrical reservoirs, rooftop solar systems under allowed to sell power from only one
vehicle (EV) charging stations.
The solar power systems installed
and commissioned during the operative
C&I units will be allowed
period will be eligible for the benefits
and incentives declared under this
to consume 90% of annual
policy, for 25 years from their date of
commissioning or for the life span,
consumption from captive
whichever is earlier, until otherwise
notified by the state government. solar projects
such project with a maximum of 2 MW are set up will be out of the scope of the institutes, schools, colleges, commercial
capacity to the DISCOMs. Land Ceiling Act of the government. and social institutions, charitable trust
buildings, hospitals, and residential
Large-scale solar projects for captive/ Preference to solar projects with buildings will be promoted for their
third-party sale storage captive use with or without net metering
The state will also provide Ground-mounted solar project facility as per the HERC Regulations. The
transmission and banking facilities for installation with storage will be rooftop solar systems may be installed
setting up solar projects for captive promoted and given preference in either on the capital expenditure
consumption or third-party sale within granting approvals. The preference will model or the renewable energy service
Haryana. For third-party sale outside the company model.
state, the transmission facility will be
provided under open access by the state State wants Virtual net-metering
power utilities, while the banking facility Virtual net-metering (VNM), including
may be provided by the state in which to solarize group virtual net-metering, may be
power is being consumed as per their promoted in urban areas. These would
regulations.
Any industrial or commercial unit
electrical be encouraged, and eligible consumers
would be facilitated, especially those
in the state will be allowed to consume
90% of its annual consumption from the
vehicle charging located in the urban centers of Haryana
who have constraints like access to
solar project.
stations adequate rooftop areas or inaccessible
rooftops.
Panchayat land on lease or rent With virtual net metering, consumers
The state government may facilitate also be given in the tariff if purchased can own a part of a collectively-owned
the lease or sub-lease of panchayat by the Haryana Power Purchase Centre. solar power generating system. All
land at reasonable rates through any The state will also promote solar energy produced by such a solar
government agency or directly through projects with storage systems for captive system will be fed into the grid through
the panchayat for setting up solar use and third-party sale. an energy meter, and the exported
projects for a minimum period of 30 energy, as recorded by that meter, will
years. Rooftop grid-connected solar be credited to the electricity bill of
projects each participating consumer based on
Land Ceiling Act for setting up solar Installation of rooftop solar systems beneficial ownership.
projects of capacities in the range of 1 kW to 2
The land area where solar projects MW at industries, public and private Power evacuation facility
All expenses for power evacuation, from the date of power banked by the HERC, for drawl of additional power
transmission, distribution, and licensee, and the developer will pay the from the grid by such charging stations,
synchronizing equipment required for difference of unscheduled interchange apart from generating solar power. Per
installation will be as per the orders of charges at the time of injection and at unit charges to be levied for charging of
the HERC on renewable energy. the time of withdrawal. EVs will not be more than ₹5 (~$0.068)/
DISCOMs will bear the cost of The banking facility will be allowed kWh in addition to per unit charges of
extra-high voltage and high voltage for the grid-connected rooftop solar DISCOMs.
systems to be installed for captive use
and third-party sale on the same lines as Exemption of wheeling,
Virtual net- ground-mounted solar projects. transmission, cross-subsidy charges,
and additional surcharges
metering will Manufacturing units
A 10% tax exemption on total
Wheeling and transmission charges
will be exempted for all captive solar
are witnessing curtailment in generation power from states where intermittent appears to encourage rooftop solar. NEP
due to economic reasons in various renewable sources of energy are should also suggest that there should not
states.” concentrated. Power from these states be any cap on net metering.”
The draft further recommends swift is transmitted to other states, and the
implementation of differential tariffs former is left to bear the variability of Creation of Electric Vehicle Charging
between peak and off-peak hours for generation. Stations
consumers and generating stations, to Aditya said, “NEP also appears According to the draft, certain tariff-
appreciate the peaking power value. to suggest that the regulator should based measures are needed for electric
According to Singh, a two-part tariff move towards implementing light- vehicle (EV) public charging stations and
will be a game-changer, “There will touch regulation mechanism. This is a a separate consumer category based on
be certain practical challenges like welcome step, and the regulator should a specific charging load. ‘Time of the
determination of the variable cost for follow it in its letter and spirit.” Day Tariff’ can be employed to avoid
wind and solar assets. I believe, once The draft also encourages solar charging load during peak demand
DISCOMs see that even if they are rooftop installations and states that hours.
issuing curtailment instructions and are one way to promote solar PV systems, The draft suggests provisions
liable to make payment for 90%-95% of particularly in household applications for injecting power back into the
the agreed tariff (this will be estimated and small industries, is through net grid whenever an EV is parked and
fixed cost for solar and wind), then they metering. Singh added, “NEP also connected to chargers. Aggregators may
will be discouraged to issue frivolous be allowed to aggregate the demand
curtailment notices.”
The draft has noted that renewable Draft highlights of multiple public charging stations to
purchase renewable energy using open
purchase obligations (RPOs) supported access.
by renewable energy certificates (RECs) promotion
have not functioned satisfactorily. The Smart Meters
draft suggests market-based options
while removing shortcomings of the
of hybrid According to the draft, automation
and smart metering can play a pivotal
existing RPO-REC-based system.
The draft also talks about an intra-
renewables and role in bringing positive transformation
in the distribution sector. The draft
state level cost-sharing mechanism to
address issues concerning the flow of energy storage suggests that all new electricity
connections come with smart prepaid
meters or simple prepaid meters. It discovered in the competitive bidding the regulator to ensure compliance to
further says that existing meters should process. the process, and not sit on the wisdom
be replaced with smart meters in the According to Singh, “NEP’s statement of the bid evaluation committee.”
next three years from the date of the about the limited role of the regulator
issuance of the NEP 2021. while adopting section 63 tariff is also Power Markets
In a recent notification, the CEA encouraging, and it is reiterating specific According to the draft, a new entity
said that in the case of open access provisions of the Act. This statement can called aggregators may be created to
consumers connected to a distribution be an aid for interpreting Section 63 of aggregate demand, renewable power
system, smart meters could be used as the Act in future tariff disputes to argue generation, demand response, micro-
interface meters, provided they comply that if bidding guidelines procedure has storage, and others, to help small
with the recommended regulations. been followed then, the Commission will consumers, prosumers, and producers
reach the market. This would help
Grid Operation promote open access, which is presently
According to the draft, grid reliability Solar projects allowed for consumers with loads of 1
has become an issue because of rapid MW and above.
grid expansion and the integration
of renewable sources of energy.
are urged Environment
Forecasting and scheduling renewable
sources should be mandatory, and a to consider The draft states that solar PV projects
must consider robotic dry cleaning
margin of error should be specified, instead of water cleaning, based on cost-
beyond which deviation charges would robotic, dry benefit analysis.
become applicable. While manual cleaning is one of the
Regulatory Process
cleaning, and options, several robotic technologies
have entered the market, providing
According to the draft, wherever
power or transmission service is save water a cost-effective method to clean solar
panels compared to manual cleaning.
procured based on guidelines issued by The Ministry of New and Renewable
the Central Government under section have no option except to adopt it.” Energy has also recommended efficient
63 of the Electricity Act, 2003, the He further added, “Other water utilization for cleaning utility-
role of the appropriate commission is considerations like prevailing market scale solar projects. The ministry said
primarily to ensure compliance with the price are giving weapons to regulatory that project developers should try
process. Section 63 of the Electricity Act commissions for delaying/non-adoption and minimize wastage and use robotic
refers to regulations of adopting tariffs of the tariff. NEP has a very clear role of cleaning technology.
Production-Linked Incentive
for Battery Storage
The government is considering battery storage
as one of the ten critical sectors under the PLI
program in a push for manufacturing advanced
batteries domestically
By : Rakesh Ranjan Parashar
he Union Cabinet has the Cabinet’s notification, the program In November last year, the
he Joint Electricity approved. For rooftop solar projects in the union territory is about 14 MW.
T Regulatory Commission
( JERC) for the state of Goa
and Union Territories has
installed in the financial year 2020-21,
₹4.72 ($0.06)/kWh is set. For ground-
mount solar projects of 1-3 MW, a tariff
Of the total capacity, 10 MW is ground-
mounted and the remaining is rooftop
solar installations.
determined the levelized tariff for of ₹6.31 ($0.08)/kWh is determined, The Commission is of the view that
ground-mounted and rooftop solar and the tariff of a ground-mount solar had the petitioner filed the petition in
projects in the Union Territories of project of 6 MW capacity is set as ₹5.97 time, then the problem of determining
Daman & Diu. ($0.08)/kWh. the tariff from the date of the
For rooftop solar projects installed A petition was filed by the Electricity commercial operation would not have
from July 2019 to March 2020, a Department, Daman & Diu, which stated arisen. But since they failed to do so, the
levelized tariff of ₹4.73 ($0.06)/kWh was that the total installed solar capacity Commission calculated year-wise tariff
The following tariffs were determined by the Commission based on the merits of the petition:
further orders of the Commission, component and fuel cost component. An interest rate of 9% and 10% is
whichever is later. It will be applicable The Commission also pronounced considered on the debt portion for
for the renewable energy projects that the generic tariff would be mainland and island areas, respectively.
commissioned during the year. determined based on the year of The working capital interest rate is 10%
According to the regulations, the commissioning of the project on a and 11% for mainland and island areas,
generic tariff determined by the levelized basis for the tariff period. The respectively.
Commission will act as a ceiling tariff. body further noted that to compute The depreciation for the solar
To procure renewable power, the levelized tariff, the discount factor projects is calculated at a rate of
distribution licensee will have to file a equivalent to a post-tax weighted 5.83% for the first 12 years and 1.54%
petition to adopt tariffs under Section 63 average cost of capital would be subsequently for the remaining useful
of the Act. considered. life of 13 years.
The operation and maintenance
Generic tariff Solar PV projects expense for the first year is set as 1.5% of
For solar (gross metering) projects, the capital cost for mainland areas and
for solar the Commission considered the useful
life as 25 years. The normative capital
2% for island areas. The escalation rate
of operation and maintenance expenses
projects in cost for solar projects in the mainland
areas without capital subsidy is
for subsequent years is considered as
3.71% for the rest of the project's useful
Lakshadweep considered as ₹50 million ($674,000)/
MW and ₹60 million ($810,000)/MW in
life.
The above parameters are considered
is ₹6.94 ($0.090)/ island areas.
Debt to equity ratio of 70:30 of
with a discount factor of 8.67% for
mainland areas and 9.76% for island
kWh the capital cost is considered for the
projects. The return on equity for the
areas. As a result, the generic tariff
for solar projects (gross metering)
For renewable energy technologies mainland areas is taken as 14% grossing commissioned between the date of the
like biomass power projects with fuel up with an Alternate Minimum Tax rate issue of this order to March 31, 2022,
cost components, the single-part tariff of 17.47%. The return on equity for the was determined as ₹4.68 ($0.063)/kWh
will carry two components: fixed cost island areas is taken as 14%. for Goa, Dadra & Nagar Haveli, Daman,
Diu, and Puducherry. For Andaman & what is considered for solar projects. ₹4.66 ($0.06)/kWh, ₹3.40 ($0.05)/kWh,
Nicobar Island and Lakshadweep, it is The generic tariff for wind projects and ₹4.21 ($0.07)/kWh, respectively.
considered as ₹6.75 ($0.090)/kWh and (gross metering) commissioned between For Andaman & Nicobar Island and
₹4.96 ($0.067)/kWh for Chandigarh. the date of the issue of this order to Lakshadweep, it is considered as ₹6.65
For solar projects commissioned March 31, 2022, is determined as ₹4.92 ($0.09)/kWh and ₹6.70 ($0.09)/kWh,
up to March 31, 2021, the generic tariff respectively.
was ₹4.82 ($0.064)/kWh for Goa,
Dadra & Nagar Haveli, Daman, Diu, and
Diu Smart For wind projects commissioned
up to March 31, 2021, the generic tariff
Puducherry. For Andaman & Nicobar
Island and Lakshadweep, it was ₹6.94
City, first in for Goa, Dadra & Nagar Haveli, and
Chandigarh was ₹5.06 ($0.07)/kWh. For
($0.092)/kWh and ₹5.10 ($0.068)/kWh
for Chandigarh. the country to Daman, Diu, and Puducherry, it was
₹4.79 ($0.064)/kWh, ₹3.50 ($0.047)/
I Forum of Regulators
discussed factors affecting
the cost of power and
purchase cost. The increase in coal
price was 28% higher than the estimated
price increase based on the weighted
this cess should be brought back to
the electricity sector to mitigate the
incremental cost of new environmental
stressed the need to analyze and evolve average of the wholesale price index norms, the panel proposed. Since 2010
measures to reduce or contain the retail and consumer price index. The group as of the financial year 2019-20, over
tariff. recommended that the coal sector be ₹1.15 trillion (~$15.6 billion) has been
The working group made certain brought under an independent regulator collected in clean energy cess.
recommendations, highlighting the need at the earliest.
for a coordinated effort by the central Also, there was a need for the Power
and the state governments to address electricity regulators to monitor and
high retail tariffs.
The Forum considered the data from
suitably regulate the station heat rate
and gross calorific value of coal-based
purchase cost
12 states – Andhra Pradesh, Assam,
Bihar, Gujarat, Haryana, Jharkhand,
power projects. Coal pricing also needed
to be regulated as in other sectors since
is the largest
Karnataka, Kerala, Madhya Pradesh,
Odisha, Uttar Pradesh, and Uttarakhand.
it is currently a monopoly.
contributor to
Cumulatively, these states account for Railway freight
50% of the total energy consumed in the The working group noted that the the average cost
country. railway freight charges increased 40%
The working group observed that
the power purchase cost was the largest
in the past four years. The members
recommended that the railways
of supply
contributor to the average cost of be brought under an independent In January 2020, the Prime Minister’s
supply, with an average of more than regulatory body. They also suggested office proposed waiving the cess on
70% share in the cost for a distribution that the central government consider coal to reduce the financial strain on
company (DISCOM). Following the subsidizing railway freight for a distance distribution companies, besides helping
power purchase cost, transmission beyond 750 km. the thermal power projects install flue
charges, and operation and maintenance gas desulphurization to curb pollution.
expenses contributed a major share. Clean energy cess
The committee questioned the The history of clean energy cess
External factors rationale of continuing with the clean In 2010, the government created the
Coal energy cess considering the increasing National Clean Energy Fund (NCEF)
The panel observed that coal cost investment in renewables. If it was to to sponsor the cost of research and
Return on equity to be made realistic The group also proposed that the Electricity Regulatory Commission
The performance of DISCOMs has 25 years’ life of PPAs for new projects (CERC) was being misused by public
a significant impact on retail tariffs for contracted through competitive bidding sector traders. The group proposed that
consumers. Therefore, there is a need is too long. They insisted that shorter the CERC should look into the matter
to link recovery of return of equity duration PPAs with exit clauses should and cap the same at ₹0.02 (~$0.0003)/
with the performance of the utilities, be promoted. kWh. Solar Energy Corporation
based on indicators such as supply of India’s trading margin of ₹0.07
availability, network availability, and
aggregate technical and commercial loss
Shorter-term (~$0.0009)/kWh is already being
disputed by generators.
reduction, the body suggested.
PPAs with Waiver of water usage charges for
Impact of depreciation on tariff hydro projects
The depreciation rate should exit clauses According to the suggestions, the
be rationalized, and the period of matter of waiver of water usage charges
depreciation should be extended. The
team suggested the tenure be extended
suggested to for hydro projects should be taken up by
the Ministry of Power.
to 15 years from 12 years. Accumulated
depreciation, over and above debt
reduce retail Distribution level efficiency in
repayment, should be used to reduce
the equity base for return on equity, power tariffs operation
The SERCs should provide a long-
they added. term trajectory for loss reduction and
Cost optimization through greater ensure that the DISCOMs follow the
The growing share of renewable use of market trajectory, the panel said, adding that
energy As per the suggestions proposed by common regulation also needed to
The group observed that although the group, the power purchase cost be brought in to curtail the losses of
green power was available at ₹2.50 could be reduced if the Merit Order DISCOMs.
(~$0.034)/kWh or less, the costs of Dispatch was followed strictly and the
transmission and balancing cost were power market and other platforms were Other suggestions
eating into the benefits it could have used for the optimization of power Apart from the suggestions
brought. The group suggested that apart procurement. mentioned above, the panel proposed
from large-scale renewable projects, the that all future generation projects,
focus in the future should also be on Trading margin be curtailed except hydropower and nuclear
the distributed generation that would The group also noted that although projects, should be set up only through
minimize transmission infrastructure the average trading margin was in competitive bidding. Also, the norms for
and help reduce the cost. the range of ₹0.03 (~$0.0004)-₹0.04 operation and maintenance expenses
(~$0.0005)/kWh, the ceiling of ₹0.07 should be made more stringent, the
The case for short-term PPAs (~$0.0009)/kWh set by the Central members added.
formulation, strong bonds between the study retained 80% of their peak SAMs would potentially add little to the
these compounds and all kinds of efficiency for around 700 hours of lab production cost, Padture said.
different surfaces could be formed, the testing. Meanwhile, the SAM cells were The researchers plan to build on
researcher explained. still going strong after 1,300 hours of this success. Having strengthened the
Padture and his team found that a testing. Based on those experiments, the weakest link in the perovskite solar
formulation of SAM with silicon atom researchers project the 80% efficiency cell stack, they’d like to move onto the
on one side, and iodine atom on the life of the SAM cells to be about 4,000
other, could form strong bonds with
both the electron transport layer (which
hours.
“One of the other things we did, Perovskite films
is usually made of tin oxide) and the which people don’t normally do, is
perovskite light-absorbing layer. The breaking open the cells after testing,” are about 400
team hoped that the bonds formed by said Zhenghong Dai, a Brown doctoral
these molecules would strengthen the
layer interface. The researchers seemed
student and lead author of the research.
In the control cells without the SAMs,
times thinner
to be heading in the right direction.
“When we introduced the SAMs to
the researchers saw damages such as
voids and cracks. But with the SAMs, the
than silicon
the interface, we found that it increases
the fracture toughness of the interface
toughened interfaces looked unaffected,
they revealed. The improvement wafers
by about 50%, indicating that any cracks reportedly surprised the researchers.
that form at the Padture said the improvement in next weakest link until they’ve fortified
toughness did not come at the the entire stack, they said. That work
cost of will involve strengthening not only
the interfaces but also the material
layers.
“This is the
kind of research
that’s required to
make cells that are
inexpensive, efficient,
and perform well for
decades,” Padture said.
In a long list of research
announced on perovskite
solar cells, research teams
from Helmholtz-Zentrum Berlin, Oxford
PV, and Gwangju Institute of Science
and Technology, among others, have
worked to increase the efficiency of
power-conversion these cells.
efficiency. The SAMs Experts from Helmholtz-Zentrum had
improved the cell’s attained a conversion efficiency record
efficiency by a small of 29.15% in a tandem solar cell made of
amount, he added. That perovskite and silicon.
seemingly occurred
because the SAMs eliminated tiny Oxford PV researchers, on their
interface molecular defects that form when the part, coated ordinary silicon solar cells
tend two layers bond in the absence of SAMs. with a thin film of perovskite material
not to “The first rule in improving the to better use photons across the solar
propagate mechanical integrity of functional spectrum. The method resulted in
very far,” devices is ‘do no harm’,” Padture 29.52% efficiency.
Padture said. “Therefore, said. “The fact that we could improve Scientists from South Korea-based
in effect, the SAMs become a reliability without losing efficiency – and Gwangju Institute used L-alanine as
kind of molecular glue that holds the even improving efficiency – was a nice an additive to perovskite materials to
two layers together,” he elaborated. surprise,” he said. passivate defects and increase grains
Testing solar cell function showed The SAMs themselves are made from in perovskite solar cells to overcome
that the SAMs increased the functional readily available compounds and easily the problem. They confirmed that solar
life of the perovskite cells to a large applied with a dip-coating process at cell efficiency increased to 20.3% from
extent. Non-SAM cells prepared for room temperature. So, the addition of 18.3%.
Rechargeable Cement-
Based Batteries – New
Sustainable Building
Materials
Researchers have devised a rechargeable prototype
of a high-rise concrete structure mixed with short
carbon fibers capable of storing energy like a giant
battery with huge commercial potential
By : Srinwanti Das
esearchers from Chalmers such concept for a rechargeable cement- up with another way to produce the
R University of Technology,
Sweden, have published
a paper outlining a new
based battery.
The concept involves a cement-
based mixture mixed with small
electrode. “This particular idea that
we have developed – which is also
rechargeable – has never been explored
concept for rechargeable batteries made amounts of short carbon fibers. This, before. Now we have proof of concept-
of cement. Developed by scientists the researchers said, increases the at-lab scale,” Zhang explained.
attached to the varsity’s Department of conductivity and flexural toughness. Tang and Zhang’s research has
Architecture and Civil Engineering, the Then, embedded within the mixture is produced a rechargeable cement-based
concept involves a high-rise concrete a metal-coated carbon-fiber mesh – iron battery with an average energy density
structure capable of storing energy like a for the anode and nickel for the cathode. of 7 Wh per square meter (or 0.8 Wh per
giant battery. The team said that they have settled for liter). Energy density is used to express
The ever-growing need for the particular prototype after a lot of the capacity of the battery, and a modest
sustainable building materials for the testing. estimate is that the performance of the
future prompted Emma Zhang, a former Zhang said that very low-performance new Chalmers battery could be more
associate at the university, to join results from earlier studies investigating than ten times that of earlier attempts at
Professor Luping Tang’s research group. concrete battery technology forced concrete batteries. The energy density
The team has now developed the first them to think out of the box and come is still low in comparison to commercial
batteries, said the researchers. They, Concrete, which is formed by “Since concrete infrastructure is
however, added that the limitation mixing cement with other ingredients, usually built to last fifty or even a
could be overcome owing to the huge is the world’s most commonly used hundred years, the batteries would
volume at which the battery could be building material. The researchers need to be refined to match this or to
constructed when used in buildings. feel that although from a sustainability be easier to exchange and recycle when
The fact that the battery is perspective, concrete is far from ideal, their service life is over. For now, this
rechargeable is its most important the potential to add functionality to it offers a major challenge from a technical
quality, and the possibilities for could offer a new dimension. point of view,” Zhang elaborated.
utilization if the concept is further “We have a vision that in the future, While technologies such as these
developed and commercialized are this technology could allow for whole are breaking ground, a new joint study
almost staggering, feel the researchers. sections of multi-story buildings made published by the European Patent Office
The researchers see applications that
could range from powering LEDs,
providing 4G connections in remote
areas, or cathodic protection against
The concept involves a cement-
corrosion in concrete infrastructure.
“It could also be coupled with solar
based mixture mixed with small
cell panels, for example, to provide
electricity and become the energy
amounts of short carbon fibers
source for monitoring systems in
highways or bridges, where sensors of functional concrete. Considering and the International Energy Agency
operated by a concrete battery could that any concrete surface could have a has highlighted the need to accelerate
detect cracking or corrosion,” suggests layer of this electrode embedded, we innovation in clean energy technologies
Zhang. are talking about enormous volumes of to meet climate goals. The report stated
The concept of using structures functional concrete,” Zhang added in an that clean energy innovations slowed
and buildings in this way could be optimistic note. between 2017-19 and grew only by an
revolutionary because it would offer an The idea is still at a very early stage, average rate of 3.3%. This progress is
alternative solution to the energy crisis said the researchers. The technical only a quarter of the average annual
by providing a large volume of energy concerns need to be addressed before growth rate recorded a decade ago
storage, the experts said. the commercialization of the technique. (+12.5% for 2000-13), the study noted.
he Global Off-Grid Lighting After reaching the lowest volumes on solar products, were more affected
Covid-19 outbreak, noted another report as components such as DC light bulbs Only a third of solar lighting
by GOGLA. and inverters. companies reported stable or increased
Other factors that influenced sales In an earlier report, GOGLA had sales compared to the second half of
in India over the last few rounds are highlighted that the Indian private 2019, with more than half reporting
the 99.99% electrification rate reached player-driven market for solar lanterns sales decreases of over 25% and a third
through the grid extension under and solar home systems is expected to reporting sales reductions of more than
the ‘Saubhagya‘ initiative in 2019 and reach ₹26,178 million (~$327 million) by 50%. These reduced sales volumes and
2023. the wider impacts of the pandemic
2020 compared to the second half of 2019. components increased due to raw
material volatility and supply shortages,
Global which also had a significant impact on
the duty on import of solar products In the second half of 2020, global the off-grid sector. Affiliates reported
to stimulate local manufacturing. off-grid solar lighting sales grew by that prices for some materials rose
Moreover, companies have anecdotally 19% compared to the first half of the by over 50%. Similarly, companies
shared that off-grid customer demand is year, totaling 3.6 million products. The experienced price increases for freight
shifting towards larger systems, which report, however, notes that sales growth and transport and delays in processing
can offer more energy services, as well is at the lowest level since 2015. exports from manufacturing centers.
Mercom had earlier reported Solar water pumps experienced the participation of solar water pump
that solar companies in India had largest relative increase amongst all companies in the sales data collection
complained of shipping/freight charges appliance types, with a 134% increase for the research period.
shooting up substantially in the range of sales volumes compared to the first Estimated impact
of 500%-800% in the fourth quarter of half of 2020 and 8,038 units sold, Despite off-grid solar solutions
2020. providing the fastest and most
In addition, the pandemic continued
to put pressure on off-grid solar
Microfinance affordable way to electrify hundreds
of millions of people, across 2020, the
companies, with some previously
buoyant companies reporting zero, or institutions reversal in the growth of the off-grid
solar market led to an estimated 10-15
low, sales in the second half of 2020.
Yet, despite the setbacks created by were more million people missing out on improved
energy access.
the pandemic, interest in off-grid solar Five million people are undertaking
and efficient appliances at the consumer severely more economic activity as a direct result
level has not dimmed and, while equity of owning an off-grid solar system.
funding into the sector has dropped by a
worrying 46% compared to 2019, overall
affected by These systems are estimated to have
unlocked an additional $6.3 billion in
investment in 2020 remained stable
($316 million), the report further noted.
the pandemic income over the last ten years. Coupled
with the savings that smaller off-grid
Solar home systems recorded sales
of 620,000 units in the second half of
compared to products, such as lanterns and multi-
light kits, have created for households,
2020. This is a 10% increase compared
to the first half of 2020, but a 25% dip banks the sector’s benefit to the finances of
millions of low-income households is
compared to the second half of 2019 over $18 billion.
when a new sales record of 830,000 predominately in sub-Saharan Africa. In January this year, the World Bank
units was reached. Compared to the volumes recorded had issued a notification expressing
Solar water pumps and refrigeration in the second half of 2019, sales of interest to fund an ‘Off-Grid Solar
units represented a mere 2% and 1% solar water pumps have decreased Energy Access Report’ to chart out an
of off-grid appliance global sales, with by 71% globally. However, the report investment roadmap for sub-Saharan
8,000 and 4,100 units, respectively. partially attributes the drop to lower African countries.
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While there are huge business we could finalize, we realized that “Behind the meter project should be
opportunities, developers are unable commodity prices shot up, including allowed to be set up without permits
to close deals amid fluctuating project iron, copper, and aluminum. Iron or approvals, other than the statutory
costs. prices have gone up by 30%, which is safety permits. As they do not inject
“Module prices are rising within unprecedented,” shared an executive on energy into the grid, therefore no
weeks even before developers get behalf of a developer. metering, net billing, or gross metering
approval on a module quote from the “The situation is very uncertain, and is needed,” suggested Rai.
clients, making it difficult to give quotes we are neither able to give quotes or The consensus among stakeholders
or submit project reports for loans,” said submit project reports for loans. The is that net metering should be allowed
financial models are going for a toss. I for all customers without restrictions on
am proposing an open book model now the capacity limit to maximize capacity
High premium without quoting a price for modules. utilization, and regulations should be
The business opportunity is huge, but uniformly applied across the country.
on land also we are unable to close deals,” he said. Elaborating on the role of the
DISCOMs, a C&I consumer said,
makes rooftop Approval woes
Despite the multiple benefits of
“Public DISCOMs are using regulatory
frameworks to hinder rooftop
solar viable for rooftop solar, many from the C&I
segment voiced their concerns about the
solar installations and resisting the
transition.” He also added that if rooftop
Regulatory Approval
for Tariffs Discovered in
Gujarat Solar Auction
The Gujarat Electricity Regulator has approved the
tariffs in a recent solar auction and also directed the
DISCOM to sign PPA after adding a late payment
surcharge clause
By : Rahul Nair
T Regulatory Commission
(GERC) has allowed Gujarat
Urja Vikas Nigam (GUVNL)
The Commission directed GUVNL to
sign and execute the power purchase
agreement (PPA) within 30 days after
to be set up in the state under Phase
XII. Successful bidders were to set up
the projects, including the transmission
to adopt the tariff discovered through adding the late payment surcharge network up to the delivery point. In
a competitive bidding process for clause. addition, bidders were to secure all
procuring power from grid-connected Earlier this year, GUVNL had floated necessary permits and clearances
solar photovoltaic (PV) projects in a tender to purchase power from 500 required to set up the project, including
In Q1 2021, Rajasthan, Uttar Pradesh, “The solar industry is grappling with all power capacity added in Q1 2021.
Gujarat, and Andhra Pradesh were the how to move forward amid so much Renewables as a whole, including wind
top states. The top five states accounted uncertainty. Bidding for auctions in the and hydro, made up close to 50% of
for 81% of the installations in the future will be extremely challenging, capacity additions in the quarter.
quarter. and developers must give themselves Key Highlights from Mercom India
The report has identified a surge in a lot of room to factor in the risks and Research’s Q1 2021 India Solar Market
demand for rooftop solar, especially price volatility. This is the first time Update
from the industries that see solar as the we have seen module prices rise four • In Q1 2021, India added 2,056 MW of
best choice for reducing their operating quarters in a row in the last five to six solar installations, an increase of 37%
expenses. The pandemic has prompted years. Bidding low in anticipation that compared to 1,505 MW installed in Q4
several industries to go solar. Although module prices will perpetually fall is 2020. YoY installations rose by 88%
opportunities are flooding, installers an extremely risky strategy in today’s compared to 1,091 MW in Q1 2020
face a dilemma as module procurement market,” Prabhu noted. • In Q1 2021, 1,749 MW was added from
has been a difficult affair with soaring According to the report, solar large-scale solar installations and 307
prices. installations accounted for 33% of MW from rooftop solar
• Rooftop solar installations increased
8% compared to 285 MW added in Q4
2020. YoY the installations were by
58%, compared to 194 MW installed
in Q1 2020
• The cumulative installed solar
capacity in India was about 41 GW at
the end of Q1 2021
• The large-scale solar project pipeline
in India stands at 53.6 GW, with 24.1
GW tendered and pending auctions at
the end of Q1 2021
• Mercom forecasts installations of
approximately 7.1 GW for CY 2021
• Solar now represents 10.7% of the
total installed power capacity in India
as of Q1 2021
he Ministry of Power (MoP) to the National Clean Air Program. Tribunal and the Haryana government’s
is aimed at having a larger share of by farmers burning crop residue in the for a higher amount of co-firing of
carbon-neutral power generation from open. biomass with coal in pulverized coal-
the thermal power plants. The mission would have full-time fired boilers. The third sub-group
The program will also support officers from the Central Electricity would have the task of resolving issues
research and development activity Authority, NTPC, Damodar Valley concerning the supply chain during
in boiler design to handle the higher Corporation, Neyveli Lignite the mission period and sensitization
amount of silica and alkalis in the Corporation, or other participating program. The fourth one would be in
biomass pellets. It will also address organizations. charge of selecting designated labs and
constraints in the supply chain of Five sub-groups have also been certification bodies to test agro-based
biomass pellets, agro-residue, and proposed under the mission. Sub-group biomass pellets and municipal solid
transport to the power plants. 1 would be responsible for researching waste pellets, while the fifth sub-group
Another objective of the mission the properties and characteristics of would be formed on the regulatory
includes looking into regulatory issues biomass. The second would carry out framework and economics of biomass
in biomass co-firing. the technical specification and safety co-firing in coal-powered thermal power
The modalities of operation and aspects, including research in boiler plants.
the structure of the mission are in the design, etc., to handle the pilot project In 2019, MNRE had issued a notice
finalizing stage. clarifying the eligibility of power
The Mission would have a steering generated from the co-firing of biomass
committee headed by the secretary The mission in thermal power plants as renewable
(MoP). It would include all stakeholders energy. The government had stated
such as the Ministry of Petroleum
& Natural Gas, Ministry of New &
aims to address that the power generated from the
co-firing of biomass in thermal power
Renewable Energy (MNRE), etc. The
executive committee would be headed
rampant air plants is renewable energy and eligible
for meeting the non-solar renewable
by the member (thermal) from the
Central Electricity Authority. pollution purchase obligations.
Last year, the MNRE had extended
NTPC will also play a larger role in the validity of its biomass-based
providing logistic and infrastructure caused by the cogeneration program. The program
support in the proposed national was extended until March 31, 2021, or
mission. Last year, NTPC invited bids for
biomass pellets to use as fuel alongside
burning of until the recommendations of the 15th
Finance Commission come into effect,
coal at its thermal power stations to
help mitigate the air pollution caused
farm stubble whichever comes first. The program was
set to end in March 2020.
Industry News
and Policy Briefs
Adani Green Energy signed a share
purchase agreement to acquire a
100% stake in SB Energy India
from Soft Bank Group (80%) and
Bharti Group (20%). The transaction
marked the largest acquisition in the
renewable energy sector in India. The
transaction valued SB Energy India at
an enterprise valuation of about $3.5
billion (~₹260 billion). The transaction
is expected to be completed by
August 2021.
Torrent Power announced the results Adani Renewable Energy Holding Tata Power declared its financial results
for Q4 of FY 2020-2021. As per the Four, a wholly-owned subsidiary of for FY 2021 and recorded a 14% growth
financial statement released by the Adani Green Energy, transferred 74% in consolidated revenues at ₹330.79
company, the company reported a total shareholding of Mundra Solar Energy billion (~$4.49 billion) compared to ₹289
comprehensive income of ₹13 billion to Adani Tradecom LLP. In all, 7,400 billion (~$3.9 billion) in FY2020.
(~$177.61 million) in FY 2021, up by equity shares were transferred to Adani
13% compared to ₹11.5 billion (~$157.11 Tradecom at face value of ₹10 (~$0.14)
million) during the same period last each aggregating to ₹74,000 (~$1,015). Adani Green Energy released its
year. audited financial results for FY ended
March 31, 2021. The company’s total
income for FY21 went up by 34% YoY
The Solar Energy Corporation of with ₹35.2 billion (~$476.48 million) from
India paid nearly ₹4.33 billion (~$58.99 the sale of energy for FY21, up by 25% at
million) to solar and wind developers for 5,482 million units.
the power it purchased in March 2021.
These disbursements accounted for
70.5% of the total amount disbursed by According to data released by the
the agency during the month. Ministry of Power, distribution
companies owed ₹120.25 billion
(~$1.62 billion) to renewable energy
The figures reportedly rose mainly generators (excluding disputed
due to the acquisition of all four amounts) in overdue payments across
Odisha distribution companies and 283 pending invoices at the end of
higher execution of solar engineering March 2021.
procurement and construction projects. Virescent Renewable Energy Trust,
a platform created by global investment
company KKR to acquire renewable The Central Electricity Regulatory
energy assets in India, announced that Commission granted Pranurja
it had acquired 76 MW of solar projects Solution Limited the registration
from Singapore-based Sindicatum right to establish and operate a power
Renewable Energy. Backed by KKR, exchange. This would be the third power
Virescent will acquire Sindicatum’s exchange in India after India Energy
assets spread across Gujarat, Rajasthan, Exchange and Power Exchange India.
and Uttar Pradesh. In Gujarat, Pranurja is a consortium of PTC India,
Sindicatum operates two solar projects. BSE Investments, and ICICI Bank.
Center
The Forum of Regulators discussed The Union Cabinet approved the
factors affecting the cost of power and ‘National Program on Advanced
stressed the need to analyze and evolve Chemistry Cell Battery Storage’
measures to reduce or contain the retail under the production-linked
tariff. The working group made certain incentive initiative. According
recommendations, highlighting the need to the Cabinet’s notification, the
for a coordinated effort by the central program aims to achieve 50 GWh
and the state governments to address of advanced chemistry cell,
high retail tariffs. and 5 GWh of niche advanced The Ministry of Power decided to
chemistry cell manufacturing set up a national mission on the use
capacity with an outlay of ₹181 of biomass in coal-powered thermal
Giving relief to solar developers amid
billion (~$2.46 billion). power plants. The main purpose of
the Covid-19 crisis, MNRE, in its
the mission is to address rampant air
notification, stated that the renewable
pollution caused by the burning of farm
energy projects having their
stubble and reduce the carbon footprint
commissioning dates on or after April The Ministry of Power issued
in thermal power generation.
1, 2021, can claim extension owing a notification directing the state
to the second surge of the Covid-19 electricity regulatory commissions
pandemic. (SERCs) to issue tariff orders for FY In the wake of the disruptive second
2020-21 at the earliest. Furthermore, wave of Covid-19 across the country,
the Ministry asked the SERCs to the Ministry of New and Renewable
strictly comply with the directions of Energy (MNRE) announced that for
the Appellate Tribunal for Electricity renewable energy projects that are
and issue tariff orders, adhering to implemented after April 1, 2021, the
the provisions of the Electricity Act, submission of physical copies would be
2003. waived off.
www.longi-solar.com
Tenders & Auctions
Major Tender
This is a list of major
tenders and auctions from
May. A comprehensive list
and Auction can be found on Mercom’s
Tender and Auction
in May [email protected]
for more information.
Other Tenders
The Odisha Renewable Energy Development Agency 315 W) for solar applications in the state.
initiated a tender to select solar power generators to set The Gujarat State Electricity Corporation issued a
up 500 MW of solar projects under Component A of tender for the supply and replacement of degraded
the Pradhan Mantri Kisan Urja Suraksha evam Utthan polycrystalline solar modules installed at the 1 MW ash
Mahabhiyan (KUSUM) program on a build, own, and dyke solar project in Gandhinagar.
operate basis. Bharat Heavy Electricals Limited released a tender for
The Madhya Pradesh Urja Vikas Nigam published a the supply of 2,250 MT of module mounting structure
tender to set up 270 MW of grid-connected solar power (3mm and above) for the 500 MW solar project at
projects of capacity 500 kW to 2 MW under Component Neemuch Solar Park in Madhya Pradesh. The park is
A of the KUSUM program. being developed by Rewa Ultra Mega Solar.
Uttar Pradesh New and Renewable Energy Development The Solar Energy Corporation of India (SECI) published
Agency issued a tender for setting up 106 MW of grid- a tender to select land banks and parcels to set up a 100
connected solar projects of 0.5 MW, 1 MW, and 2 MW MW solar project in Chhattisgarh.
capacity under Component A of the KUSUM program. The Agricultural Marketing Department,
Central Electronics floated tenders for 1.75 million Government of Andhra Pradesh, invited bids to install 112
multicrystalline solar cells. The company also released a grid-connected solar cold storage rooms across the
tender to procure 500,000 multicrystalline solar cells state.
with a wattage capacity of 4.68 W and higher. The Paschim Gujarat Vij Company, on behalf of other
Rajasthan Electronics and Instruments invited bids distribution companies (DISCOMs) of Gujarat, launched
to procure 40,000 solar cells of the monocrystalline a tender to procure 68,245 bi-directional solar
passivated emitter and rear cell (PERC) category of 5.64 W static meters (single-phase, 2-wire, 5-30 Ampere) for
capacity. downloading data from rooftop solar systems.
The Chhattisgarh State Renewable Energy Development The Department of Atomic Energy issued a tender
Agency announced a tender to standardize the rates for for the O&M of a 12 MW solar project at a heavy water
the supply of solar modules of different capacities (75 W - plant in Manuguru, Telangana.
WE’RE
NOW
HYBRID!
Auctions
TP Saurya, a Tata Power subsidiary, was declared set up at the Raghanesda Solar Park in Gujarat (Phase-X).
the winner in the Maharashtra State Power Generation SJVN quoted a tariff of ₹2.64 (~$0.036)/kWh for the 100
Company’s auction for setting up 250 MW of grid- MW capacity.
connected solar photovoltaic projects at the Dondaicha NHPC awarded the EPC contract to Tata Power Solar
Solar Park in Dhule, Maharashtra. Systems to develop a 40 MW solar project in the Ganjam
SJVN Limited won a 100 MW solar project in the district of Odisha. The total estimated value of the contract
Gujarat Urja Vikas Nigam’s auction. The projects are to be is ₹1.88 billion (~$25.76 million)