or system by any licensee or consumer or a person engaged in generation in

Or system by any licensee or consumer or a person

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or system by any licensee or consumer or a person engaged in generation in accordance with the regulations specified by the Appropriate Commission. Open access allows a bulk consumer, according to the framework developed by the appropriate commission, to contract directly with the generation company or with any other source of supply (other than the incumbent distribution licensee in whose area the consumer is situated). The open access framework also offers the generating company the freedom to supply power to consumers who are eligible to avail open access. Classification based on off-taker arrangement: 4. Sale through group captive under open access regime This model is very similar to that of the third-party sale model discussed in detail in the above section. However, in this model, the consumers need to have a minimum level of stakeholding in the rooftop project set-up. Hence, in case a developer wants to set up a rooftop project and sell power through the group captive route, then the shareholding/ capital structure of the rooftop project should be such that the plant gets qualified as a captive generation plant. 5. Sale under the Renewable Energy Certificate (REC) mechanism Under the REC mechanism, one REC will be issued to the renewable energy generator for generating 1 MWh of electrical energy fed into the grid. The RE generator may sell electricity to the distribution company at the regulated price equivalent of the average pooled cost of power purchase by the utility from all sources excluding renewable energy sources and its RECs to obligated entities at the market price through the exchange mechanism in a transparent manner. The RE generator may sell the certificates only through power exchange to such obligated entities who have to meet their RPO target. The purchase of RECs will be deemed as a purchase of power generated from renewable sources and accordingly will be allowed for compliance with the RPO target. The REC mechanism will enable obligated entities in a state to procure RECs generated from any of the states in India and surrender the same to fulfil their RPO target.
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PwC 40 The solar rooftop value chain comprises the following components: The share of each component in the value chain is estimated as below: %age share of rooftop components in total cost Modules, 50% Inverters, 9% BoS, 29% Project Financing, 2% Project Development, 10% Modules Inbound Inverters Outbound BoS Firm infrastructure Human resource management Procurement Technology Concessional funding: Equity investments from pension funds, life insurance companies, PE funds, concessional line of credit from DFIs/multilaterals Support activities Strategic sourcing Logistics Project finance Project development Vendor management O&M Primary activities Value Chain Solar value chain Percentage share in rooftop system cost
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41 The value chain of rooftop solar projects aims at strategic sourcing of raw materials, procuring the best quality goods and delivering them to consumers at the right time, in the right quantity
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  • Fall '18
  • Julie Summers
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