The Rajasthan Government has fine-tuned the rates for developer contributions towards the Renewable Energy Development Fund (REDF) for solar projects in the Solar Energy Policy 2019. Industry players expressed dissatisfaction over the contribution demanded under the draft policy at between Rs 2.5 lakh and Rs 5 lakh/MW per year as cess for supplying power to utilities other than discoms in Rajasthan.
The Rajasthan Renewable Energy Corporation said in its Solar Energy Policy 2019 that large-scale integration of wind and solar power into the grid requires upgradation of transmission and distribution infrastructure of power utilities, leading to increase in system-level cost. “This increased cost has to be borne by state utilities and the government in various forms, mainly as expenditure for development of large power system infrastructure for grid management.”