Centre Directs Gas-based Power Plants To Begin Operations Amid Rising Summer Demand
To address the surge in electricity demand during the upcoming summer season, the government has instructed gas-based power plants to commence operations, announced the Ministry of Power on Saturday.
Under Section 11 of the Electricity Act, 2003, the government has issued directives to all gas-based generating stations to ensure maximum power generation. This section empowers the state or central government to specify the operation of generating stations in extraordinary circumstances.
A considerable capacity of gas-based generating stations remains underutilised primarily due to commercial considerations. The directive, akin to measures taken for imported-coal-based power plants, aims to optimise power availability from gas-based generating stations during the anticipated high-demand period.
The order is effective from 1 May 2024, to 30 June 2024, as per the Power Ministry's statement. GRID-INDIA will inform gas-based generating stations in advance regarding the duration for which gas-based power is required.
Gas-based generating stations holding Power Purchase Agreements (PPAs) with distribution licensees will prioritise supplying power to PPA holders. Any surplus power will be offered in the power market. Stations without PPAs must offer their generation in the power market.
A high-level committee, chaired by the Central Electricity Authority's chairperson, has been formed to oversee the implementation of this directive.
This decision forms part of a series of measures undertaken by the government to ensure sufficient power availability during the summer season. Union Minister for Power and New & Renewable Energy R. K. Singh has conducted several meetings, emphasising the need for adequate power availability to meet the load during the impending hot-weather season, as per an official statement.
