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Open access II: India's attempt to expand scope of green energy initiatives

The new guidelines expanding consumer choices to green energy will remain subject to the uncertainties and quirks of state policy

power, electricity
premium

“It is a very positive and encouraging step if we have to meet target of renewable energy, but state distribution companies will find the new policy challenging,’’ said A K Saxena, a senior director at energy think tank TERI.

S Dinakar New Delhi
Nearly two decades after former Prime Minister Atal Bihari Vajpayee threw open the electricity sector to competition via The Electricity Act of 2003, Prime Minister Narendra Modi is attempting the same by extending and expanding the choices available under the Act to consume and produce green energy.

Open Access (OA) amendments, which offer an easier road to both harried consumers and green power developers to somewhat sidestep inefficient host utilities and expand India’s renewable potential, is a welcome addition to New Delhi’s commitment to gradually loosen the grip of state electricity companies on India’s power sector.

The problem, though, remains