Transcos seek gradual weaning of incentive
Private sector power transmission companies
have sought a graded reduction of incentives for moving renewable energy across states, instead of a steep cut.
In a representation to the Centre, the
Electric Power Transmission Association
(EPTA) urged the government to adopt a more flexible approach to the planned withdrawal of the Inter-State Transmission System (ISTS) waiver.
As part of its suggestions, EPTA proposed a
milestone-based eligibility framework
that would allow projects showing significant progress, but delayed due to external challenges, to continue benefiting from the ISTS waiver. "These projects should be given a few more months to complete construction so that they come under the ambit of the
ISTS waiver
," an EPTA statement said.
The association recommended a more gradual phase-out of the waiver, starting with a 10% withdrawal each year instead of the proposed 25%. Such a calibrated approach would significantly ease the impact of the waiver's withdrawal on the cost of green power, EPTA added.
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