Question : Coal-based Thermal Power Plants

Will the Minister of PLANNING be pleased to state:

(a) whether NITI Aayog is stressing on tough steps to reform
the power sector and asking Government for phasing out
25 years or older coal-based thermal power plants and
creating of open access power market, commercial coal
mining and promoting renewables; and

(b) if so, the details thereof?

Answer given by the minister

MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF PLANNING
AND MINISTER OF STATE IN THE MINISTRY OF CHEMICALS & FERTILIZERS

(RAO INDERJIT SINGH)

(a) Yes, Madam.

(b) In NITI Aayog’s India Three Year Action Agenda (2017-18 to 2019-20) phasing out of older coal-based Thermal power plants, commercial coal mining and promoting renewables was suggested. The details regarding above suggestions are summarized below:

Chapter 13 (Energy), para 13.20(2): The old plants with high station heat rate, especially when located in or near heavily populated regions, should be phased out.

Chapter 13 (Energy), para 13.27: We must use market mechanism to open to coal mining sector for commercial mining.

Chapter 13 (Energy), para 13.58: A renewable energy capacity of 100 GW should be achieved by 2019-20 so as to contribute to achievement of 175 GW target by 2022. The financial support for renewable sector will be aimed at promoting generation and infrastructure creation rather than mere capacity creation.

Chapter 13 (Energy), para 13.59: The off-grid target of 40 GW of solar energy by 2022 may be apportioned between residential, commercial, industrial and agricultural sectors with a target of achieving 20 GW capacity by 2019-20. The residential off-grid capacity should be developed through a robust regulatory and policy framework including a remunerative net metering policy. The two phases of Green corridor project should be executed so as to evacuate the renewable generation available in 2019-20

Chapter 13 (Energy), para 13.60: Solar Energy Corporation of India Limited (SECI) should develop storage solutions within next three years to help bring down prices through demand aggregation of both household and grid scale batteries.

Chapter 13 (Energy), para 13.61: At the institutional level, all 8 Renewable Energy Management Centres (REMCs) should be operationalized to activate grid planning between Central Power System Operation Corporation Limited (POSOCO) and / State Load Dispatch Centre (SLDCs) to ensure smooth dispatch of renewable electricity. The central/state agencies should provide infrastructural, transmission and purchase support to developers to help achieve the renewable target of the country. Moreover, a friendly eco-system for integration of renewable electricity should be created by changing/improving the regulatory practices and better coordination, through state specific renewable action plans.

Chapter 13 (Energy), para 13.62: By 2019-20, a robust market for renewable power should be created through effective implementation of Renewable Purchase Obligations (RPOs) especially in the light of uniform targets having been announced. The renewable rich states may be encouraged to sell power to renewable poor states.

Chapter 13 (Energy), para 13.63: A large programme should be launched to tap at least 50% of the bio-gas potential in the country by supporting technology and credit support through NABARD by 2020.

Chapter 13 (Energy), para 13.64: Small Hydro Power (SHP) target of 5000 MW by 2022 should be advanced to 2019-20 through VGF and tariff support, which will also aid balancing of variable solar energy in de-centralized locations.

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