Power Ministry proposes RPO for round the clock renewable energy

Power Minister R K Singh has proposed renewable purchase obligation (RPO) mechanism for round the clock (RTC) renewable energy, which will promote storage of electricity in the country.

Under RPO, bulk purchasers like discoms, open access consumers and capacitive users are required to buy a certain proportion of renewable energy or RECs (renewable energy certificates) in lieu of clean energy.

Once the RPO is mandatory for RTC renewable energy, it would encourage investments in renewable electricity storage projects.

Speaking at the 6th Foundation Day of Association of Renewable Energy Agencies of States (AREAS) on Thursday, Singh said, “Renewable energy is economically viable today. The only rider is storage. Prices of storage will come down over time.”