India's Ministry of Power recently announced the abolition of the Uniform Renewable Energy Tariff (URET) mechanism and disbanded the central power poo
Indian Government Abolishes Renewable Energy Tariff Pooling Mechanism, Disbands Central Power Pricing Pool Amid Concerns Over Uncertainty
India's Ministry of Power recently announced the abolition of the Uniform Renewable Energy Tariff (URET) mechanism and disbanded the central power pool used for uniform tariff setting of renewable power purchase agreements. This move aims to directly address industry concerns regarding market instability.
This policy adjustment stems from deep concerns among developers and implementing agencies over tariff uncertainty. As the original mechanism could lead to price volatility and investment risks, the government decided to phase out this framework to enhance market predictability, expecting to promote sustainable project development.
Developers and implementing agencies emphasized that uncertainty has hindered project advancement and economic competitiveness. They called for new measures to stabilize the policy environment, although detailed implementation mechanisms have yet to be announced.
url:https://energy.economictimes.indiatimes.com/news/renewable/govt-revokes-uniform-tariff-mechanism-for-renewable-energy-projects-dissolves-pricing-pools/123144458
