The Ministry of Power (MoP) has notified the applicability of renewable generation obligation (RGO) to companies constructing coal or lignite-based thermal generating stations after April 1, 2023.
Under this, any generating company establishing a coal or lignite-based thermal generating station and having the commercial operation date (COD) of the project on or after April 1, 2023, shall be required to establish renewable energy generating capacity (in MW) i.e., renewable generation obligation (RGO) of a minimum of 40 percent of the capacity or procure and supply renewable energy equivalent to such capacity. Further, coal and lignite based thermal generating stations with COD between April 1, 2023 and March 31, 2025 shall be required to comply with RGO of 40 per cent by April 1, 2025. Coal and lignite based thermal generating stations with COD after April 1, 2025 shall be required to comply with RGO of 40 per cent by the COD. However, captive coal and lignite based thermal generating stations shall be exempt from the requirement of RGO subject to its fulfilling renewable purchase obligations as notified by the central government.