Kerala Electricity Commission sets the tariff for Kozhikode plant

The Kerala State Electricity Regulatory Commission (KSERC) has set a tariff of ₹6.81/kWh without considering accelerated depreciation and ₹6.31/kWh with accelerated depreciation for procurement of power from a 6 MW municipal solid waste (MSW) project in Kozhikode, reports Mercom.

The Commission noted that the tariff would be applicable for 25 years. The tariff for the excess generation over the normative plant load factor (PLF) would be 75% of the approved levelized tariff.

Malabar Waste Management, an integrated waste management company with a 6 MW waste-to-energy project filed a petition with the state Commission requesting it to adopt the levelized tariff of ₹8.13/kWh for 25 years from the project’s commissioning date.

The Kerala State Industrial Development Corporation (KSIDC) invited bids to develop a waste-to-energy project of a minimum of 300 TPD processing capacity for the Kozhikode Cluster for 27 years. Zonta Infratech, as the lead member, was awarded the contract in late 2018. As per the tender, a special purpose vehicle (SPV), Malabar Waste Management, was incorporated to develop the project.

The Commission said that the project developer should avail the central financial assistance (CFA) for this project. This benefit should be passed on to the state’s electricity consumers by reducing the cost of electricity produced from this project.