BUSINESS PLAN ORDER Approval of Business Plan for 4th Multi-Year Tariff Control Period from FY 2025-26 to FY 2029-30 for ED, Puducherry – EQ
Summary:
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## **Joint Electricity Regulatory Commission (JERC) – Petition No. 49/2024**
### 📌 Case Details
* **Petitioner:** Electricity Department, UT of Lakshadweep
* **Subject:** Approval of **Renewable Power Procurement Plan (RPO compliance)** for **FY 2022-23 & FY 2023-24**.
* **Relief Sought:**
1. Approval of RPO compliance for FY 22-23 & FY 23-24.
2. Permission to meet shortfall through purchase of **Renewable Energy Certificates (RECs)**.
3. Approval of power procurement from SECI, NTPC Vidyut Vyapar Nigam, and other RE sources.
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### ⚡ Background
* Lakshadweep Electricity Dept. is obligated to meet RPO targets set by JERC.
* Cited shortfall in renewable procurement due to delays in project commissioning and limited renewable capacity in islands.
* Sought to fill the gap with RECs, which is a compliance mechanism.
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### 📊 Submissions
* **RPO Target:**
* FY 2022-23 → \~24% of consumption
* FY 2023-24 → \~27% of consumption
* **Achievement:** Lower than mandated. Shortfall remains despite contracts with SECI & NVVN.
* **Financial Impact:** REC purchase cost submitted to Commission for approval.
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### 🏛️ Commission’s Findings
* Verified genuine efforts in contracting renewable power.
* Noted limited geographical/technical feasibility of setting up large renewable projects in Lakshadweep.
* Held that REC mechanism is valid for bridging shortfall.
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### ✅ Final Order
1. Approved RPO compliance plan for FY 2022-23 & 2023-24.
2. Permitted purchase of **RECs** to meet the deficit.
3. Directed proactive planning for FY 2024-25 onwards.
4. Ordered quarterly compliance reports.
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### 📌 Status
* **Petition Allowed.**
* Lakshadweep deemed compliant for FY 2022-23 & 2023-24, subject to REC purchase.
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