NEWS & UPDATES

Weekly Power Sector Round up: 26th March 2022

PLI scheme to account for ~15% capex in key industrial sectors over 4 years

Production Linked Incentive (PLI) scheme will account for 13-15% of the average annual investment in key industrial sectors over the net 3-4 years, according to a report by Crisil.

Since its introduction in March 2020, PLI has been announced for 15 sectors, involving government incentives to the tune of Rs. 1.93 lakh crore. Of this, 50-60% is to be spent on sectors with domestic manufacturing and export focus, and the rest on import localization.

While the capex in mobile, pharma and telecom has already kicked off, that in capital-intensive sectors such as automobile and solar photovoltaics, which form 70% of the committed investment, will kick off from April 2022.


Allow free Open Access for EV charging from renewable sources: CII

The Confederation of Indian Industry (CII) has called for making Open Access free for charging Electric Vehicles from green energy sources.

Currently, it is not feasible at the standalone charging point level as under the prevailing regulations, a minimum of 1MW load at the point of consumption is needed to avail power under Open Access.

Taking cognizance of such need and demand, the Ministry of Power came out with a draft notification on August 16, 2021, titled “Draft Electricity (promoting renewable energy through Green Energy Open Access) Rules, 202”, seeking comments from various stakeholders.

The draft rule provides for lowering the threshold for sourcing power from green sources to 100 KW. This is the need of the hour and would catapult the transition of the transportation ecosystem, from fossil fuel to green electricity.