REVERSE BUNDLING SCHEME
The Ministry of New and Renewable Energy proposed ‘reverse bundling’ scheme for balancing between coal-fired power and renewable.
About Bundling Scheme:
- To ‘bundle’ the solar energy with the cheaper coal fired power.
- This is done for pushing renewable power in a market driven manner.
- The solar energy generated using photovoltaic cell fall down dramatically. So, this scheme became obsolete.
About the new proposal:
- It is to bundle the cheap renewable energy with the costlier coal fired power.
- It will ensure 24*7 uninterrupted electricity.
- The draft policy stipulates supply of 51% renewable energy with or without energy storage bundled with 49% thermal power component.
- The tariff of the bundled electricity is higher than the average of renewable energy and coal power. Because, renewable energy can supplied for 6 to 8 hours.
- Coal fired plants are postponing the deadlines to follow the emission controlling systems.
- Coal fired plants capacity utilization has falling year on year.
- Combining renewable energy with coal power counters India’s climate objectives.
- Poor Financial health of Discom's for procuring the power.
- Currently, Electricity from renewable energy constitutes about 10 percent of the total energy generation of the country.
- According to the International Energy Agency, By 2024, India’s coal demand is expected to grow more than any other country in absolute terms.