The government has revised the framework for electricity supply to provide the cheapest power lot first to consumers and help state utilities to meet demand in a cost-effective manner. The power ministry has revised the structure of the Day-Ahead National level Merit Order Despatch Mechanism to lower the overall cost of electricity generation, which will translate into lower power prices for consumers, an official statement said Wednesday.
As per the revised mechanism, the cheapest generating resources (power) across the country will be despatched (supplied) first to meet the system demand.
The gains out of the proposed Day-Ahead National Merit Order Dispatch Mechanism would be shared between generating stations and their consumers.
