Kerala Renewable Energy Policy

Last IREEED Review: 19 September 2013
Program Overview
State: Kerala
Technology : Municipal Solid Waste
Non-Fossil Fuel Based Cogeneration
Small Hydro Power
Solar PV
Nodal Agency : Agency for Non-conventional Energy and Rural Technology (ANERT)
All power producers generating grid-grade electricity including power producers from stand alone projects using Non-conventional Energy Sources are eligible producers under the policy. These power producers shall sell power to Kerala state Electricity Board (KSEB) at prescribed rates. Grid interfacing has to be undertaken by the developer at his own cost but at the specification prescribed by the State electricity board. Power generated through Renewable Energy Sources, if purchased by KSEB, will be at a ceiling rate of Rs.2.50 per unit for power from small hydel power plants. For power from all other renewable energy sources, price will be at a ceiling rate of Rs.2.80 per unit, with base year fixed as 2000-01 and with 5% escalation for every year upto 5 years of operation. 100% banking is allowed for the period from June to February for every financial year. From March to June, the producers can bank power with KSEB. The wheeling charge is fixed at of 5 per cent of energy fed into the grid. KSEB and eligible producers under this policy, intending to sell power to KSEB/to wheel/ to bank will enter into a Power Purchase Agreement (PPA) for a minimum period of five years. Renewable Energy equipment and materials shall be exempted from Entry Tax /Octroi
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