Panchabuta-Renewable Energy & Cleantech in India

According to reports, amid growing regulatory and administrative uncertainties the biomass-based power producers have sought the intervention of Forum of Regulators (FoR) for early resolution of issues relating to open access, cross subsidy, CDM sharing, penalty clause imposed by certain distribution companies for maintaining plant load factor and the tariff structure. These producers have argued that the tariff fixed by the state electricity regulatory commissions was unremunerative as rising prices of biomass, which was sourced by producers against cash payments, were not captured properly. Besides, they said the revenue realisation takes two months to over one year due to rapidly deteriorating financial position of state utilities which results in the shutting down of some plants and mounting losses.

Indian Bio Mass Power Association, a representative body of biomass based power producers and Andhra Pradesh based Shalivahana Green Energy in their separate presentations to the FoR, which is an apex…

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