RPO Obligation on Open Access and Captive Consumers

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Section 42 of the Electricity Act 2003 allows open access to large consumers, whereby such eligible consumers can choose supplier of their choice. In case consumers source power from persons (generating company, trading company or distribution licensee other than licensee in whose area of supply such consumer is located) under Section 42 of the Act then, energy input by distribution licensee shall be reduced to the extent of consumption outsourced by OA consumer.
While the current enforcement of RPO has been only on the distribution licensees, and open access and enforcement of RPO on captive consumers and open access consumers is yet to be enforced by tthe government. While it is clear that renewable energy generation within the States needs to be promoted, it is equally important that the costs and benefits of such harnessing are equitably distributed amongst all concerned. Accordingly, it would only be appropriate that Open Access consumers are also subjected to RPO regime.

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