India’s Green Energy Revolution takes a leap forward

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India’s Green Energy Revolution takes a leap forward

Saturday, 30 March 2024 | Kaviraj Singh

The launch of Open Access Rules 2022 heralds a significant turning point for India’s renewable energy sector

The launch of the Electricity (Promoting Renewable Energy Through Green Energy Open Access) Rules, 2022, widely known as the Green Energy Open Access Rules (GOAR) 2022, marks a pivotal moment for the renewable energy sector in India. These regulations, designed to boost the generation, purchase, and consumption of green energy, are a cornerstone in the advancement of India’s ambitious Renewable Energy programmes.

Exploring the Key Features of the Green Energy Open Access Rules 2022

Central to GOAR 2022 is the establishment of a uniform Renewable Purchase Obligation (RPO) across all entities within a distribution licensee’s area. This requirement aims to ensure a collective push towards renewable energy procurement, thus forwarding India’s green energy targets. Importantly, GOAR 2022 expands the scope of RPO to include Green Hydrogen and Green Ammonia, highlighting the Government’s dedication to enhancing the renewable energy mix.

One of the rule’s primary initiatives is granting Green Open Access to all consumers, thereby facilitating unbiased access to electrical transmission and distribution systems for consumers, generators, and state distribution companies (DISCOMs). This initiative is instrumental in promoting the adoption of green energy across diverse sectors. Another remarkable feature of GOAR 2022 is the reduction of the Open Access transaction threshold from 1 MW to 100 kW for green energy consumers, making renewable power more accessible to a broader audience.

Furthermore, under GOAR 2022, consumers have the right to request Green Power from their DISCOMs, which are then required to procure and supply such green energy, ensuring the availability of affordable, reliable, and sustainable energy. The process for obtaining Green Open Access has been simplified, with a stipulated approval timeline of 15 days, thereby minimizing bureaucratic delays and fostering easier access to renewable energy. The rules also encourage Commercial and Industrial consumers to voluntarily purchase green power, supporting businesses in achieving their sustainability goals while potentially benefiting from cost reductions associated with renewable energy consumption.

The Significance of Green Energy Open Access Rules 2022

The enactment of GOAR 2022 is a crucial step towards India’s transition to renewable energy and its broader climate change mitigation efforts. It encourages a shift among smaller industries, commercial consumers, and large households towards green energy, promoting the diversification of India’s energy portfolio away from fossil fuels.

Aligning with India’s renewable energy targets, GOAR 2022 significantly contributes to the national goal of installing 250 GW of renewable capacity by March 2028 and 500 GW by 2030. These rules underline India’s commitment to its renewable energy ambitions and climate objectives.

Moreover, GOAR 2022’s promotion of green energy is in harmony with India’s commitment to reducing emissions by 45 per cent by 2030 and achieving net-zero emissions by 2070. This initiative is vital for mitigating climate change impacts and reducing carbon emissions.

The renewable energy sector stands to gain from economic growth, job creation, and investment opportunities stimulated by the implementation of GOAR 2022. This progress is anticipated to drive innovation, technology development, and infrastructure investment within the sector.

Lastly, diversifying the energy mix through the promotion of renewable sources under GOAR 2022 enhances India’s energy security by reducing its dependence on imported fossil fuels.

This strategic move strengthens India’s energy independence and shields it from global energy market fluctuations. Potential Advantages of Implementing Green Energy Open Access

The introduction of the Green Energy Open Access Rules 2022 offers numerous benefits, supporting India’s climate commitments and facilitating a transition towards sustainable energy sources. By promoting the adoption of renewable energy, these rules contribute to reducing dependence on fossil fuels and lowering carbon emissions.

Access to competitive green power pricing under GOAR 2022 could lead to cost savings for consumers over time, making renewable energy an economically attractive option. Moreover, by expanding access to clean energy, especially in regions with limited grid connectivity, these rules promote energy equity and inclusivity, improving energy access for remote and underserved communities.

Furthermore, the shift towards renewable energy adoption encouraged by GOAR 2022 helps mitigate environmental impacts, reducing greenhouse gas emissions, air pollution, and reliance on non-renewable resources.

By fostering the generation, purchase, and consumption of green energy, Open Acces Rules  play a crucial role in achieving India’s renewable energy targets, climate goals, and sustainable development objectives.

(The writer is founder of Earthood; views are personal)

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