The Government of India has decided to operationalize gas-based power plants in order to help meet the high electricity demand in the country during the summer season. To ensure maximum power generation from Gas-Based Generating Stations, the Government has issued directions to all Gas-Based Generating Stations under Section 11 of the Electricity Act, 2003 (under which the appropriate government may specify that a generating company shall, in extraordinary circumstances operate and maintain any generating station in accordance with the directions of that Government).
A significant portion of the Gas-Based Generating Stations (GBSs) is currently unutilized, primarily due to commercial considerations. The order under Section 11, which is on similar lines as done for imported-coal-based power plants, aims to optimise the availability of power from Gas-Based Generating Stations during the ensuing high demand period. The order shall remain valid for generation and supply of power from May 1, 2024 to June 30, 2024.
As per the arrangement, GRID-INDIA will inform the Gas-based Generating Stations in advance, of the number of days for which Gas-based power is required. Gas-Based Generating Stations holding Power Purchase Agreements (PPAs) with Distribution Licensees shall first offer their power to PPA holders. If the power offered is not utilised by any PPA holder, then it shall be offered in the power market. Gas-Based Generating Stations not tied to PPAs must offer their generation in the power market. A high-level committee headed by Chairperson, Central Electricity Authority has been constituted to facilitate the implementation of this direction.
