Captive solar power generators up in arms against TNGECL’s indigenous panel rule

CHENNAI: Tamil Nadu Green Energy Corporation Ltd (TNGECL) and industries with captive solar power plants in the state are at loggerheads over the former’s latest instructions that new captive plants will be connected to the grid only if the indigenous solar panels are used and not if the imported modules are used.
In a circular to all the industries with captive plants, chief engineer of TNGECL, erstwhile Tangedco, has stated that the Union new and renewable energy ministry (MNRE) has made amendments to its 2017 order regarding solar plant installation to ensure quality of solar cells, solar modules used in solar power plants in addition to promote ‘Make in India’ mission.TNGECL directed that captive plants also should install solar panels from the approved list of modules and manufacturers (ALMM) released by MNRE.
A senior Tangedco official said ALMM solar modules had been mandatory only for domestic rooftop systems and for projects by govt as well as those assisted with govt funds thus far. “However, now the Union govt has made it clear that the captive plants too should install ALMM panels,” said the official.
Industries, which are in the process of setting up new captive solar plants and expanding the existing plants, are up in arms against TNGECL’s direction and argue that the green energy corporation has completely misinterpreted the MNRE’s amendment and has created a chaos among stakeholders of solar energy investors.
“Projects with an overall capacity of 500MW are under different stages of installation. Now they are unsure if TNGECL will allow them to connect it to the grid,” said Tamil Nadu Spinning Mills Association (TASMA), whose members own 75% of installed solar capacity in TN.
The state has an installed capacity of more than 8,000 MW solar power, out of which 5,000 MW are owned by captive generators.
TASMA chief advisor K Venkatachalam said captive generators prefer imported panels to keep cost and quality in check. “ALMM can be enforced for small plants but not for the plants of 5MW in size. Industries cannot afford as indigenous panels would be 60% more expensive and standards will not be par with other pioneers of solar panel manufacturers. Also, MNRE always never banned imported solar panels and has restricted its usage only in govt assisted projects. But TNGECL without getting clarification from MNRE and not routing through the regulatory commission has issued such orders.
“It will impede the proposed investments in the state,” he said.
TASMA has also written to the MNRE to intervene in the matter and make suitable directions to the state green energy corporation.