The Kerala State Electricity Regulatory Commission (KSERC) has approved a levelised tariff of Rs 4.23 per kWh without the benefit of accelerated depreciation benefits for the electricity generated from a 1 MW wind power project installed by Kosamattom Finance Limited (KFL) at Ramakkalmedu. If the benefit of accelerated depreciation is utilised, the tariff rate is Rs 3.93 per kWh. Further, the commission has directed KFL to enter into a power purchase agreement (PPA) with the Kerala State Electricity Board (KSEB) at this tariff.
In its petition, KFL had requested the commission to approve the tariff of Rs 6.33 per kWh without accelerated depreciation benefits. It had also asked the commission to approve the power generated from the 1 MW project to be fed into the grid and paid for by the distribution licensee, KSEB. The commission stated that the levelised tariff approved by the commission is applicable for the entire electricity injected into the grid from the effective date of the PPA mutually agreed by the parties. Both the parties agreed to adopt the tariff period for signing the PPA as 13 years and the effective date of the PPA as October 27, 2018. The commission further added that KSEB should make the payment for the energy injected into the grid during the testing period at the APPC approved by the commission.