The Ministry of New and Renewable Energy (MNRE) has issued an advisory/clarification dated 05-11-2019 stating that as long as the solar PV power plant is in accordance with the contracted AC capacity and meets the range of energy supply based on Capacity Utilization Factor (CUF) requirements, the design and installation of solar capacity on the DC side should be left to the generator / developer.
The Ministry further clarified stating that any person is entitled to set up any capacity which he desires to set up, and sell power to any entity which may want to buy it.
It may be noted that MNRE has received representations from various Solar Developers/ Solar Developer Associations that recently few States have raised questions and concerns around globally adopted practice of installing additional DC capacity, over and above the nameplate / contracted AC capacity, with the objective of meeting the committed Capacity Utilization Factor (CUF) in Power Purchase Agreements (PPAs) / Power Supply Agreements (PSAs).
The Ministry has clarified that even if the installed DC capacity (MWp) in a solar PV power plant, is in excess of the value of the contracted AC capacity (MW), it is not violation of PPA or PSA.
As long as the AC capacity of the solar PV power plant set up by the developer corresponds with the contracted AC capacity and that, at no point, the power (MW) scheduled from the solar PV power plant is in excess of the contracted AC capacity, unless there is any specific clause in the PPA restricting such D.C. capacity.
This is a PIB News-Feed; edited by Clean-Future Team