Tamil Nadu Green Energy Corporation granted intra-state electricity trading licence

Tamil Nadu Electricity Regulatory Commission (TNERC) has granted  Category-G licence for intra-State trading of electricity across Tamil Nadu to Tamil Nadu Green Energy Corporation Limited (TNGECL).

TNGECL has been granted a licence for trading 500 million units per year. As per the petition filed by TNGECL, it intends to be a power procurement intermediary. TNGECL will purchase power from the renewable power developer (RPD) and sell it to the Tamil Nadu Power Distribution Corporation Limited (TNPDCL), it said.

The  power trading business process is designed to attract private investment in the renewable energy sector by ensuring financial security, while simultaneously assisting the State to manage demand and achieve its targets, TNGECL said.

While granting the licence, TNERC rejected objections like TNGECL  lacks proven operational history and  non-compliance on Credit Rating Requirement, while citing that TNGECL is a new entity segregated from Tangedco, which has proved its mettle in distribution of supply across the State over the years.