Lok Sabha Question No. 4751 (UNSTARRED), answered on 2016-12-15
Subject: Conference of State Ministers of Power
Ministry: POWER
Asked by: PARVESH SAHIB SINGH

## GOVERNMENT OF INDIA MINISTRY OF POWER

## LOK SABHA UNSTARRED QUESTION NO.4751 TO BE ANSWERED ON 15.12.2016

## CONFERENCE OF STATE MINISTERS OF POWER

4751. SHRI PARVESH SAHIB SINGH:

Will the Minister of POWER be pleased to state:

(a) whether the Government has hosted a Conference of State Ministers of  Power  recently  in  order  to  review  the  implementation  of  the  central schemes and programmes in the power sector;

(b) if so, the details thereof;

(c) the details of the suggestions made during the conference and the outcome thereof;

(d) whether the Government has proposed any changes to the central schemes and programmes in pursuance of the said conference; and

(e) if so, the details thereof?

## A N S W E R

THE MINISTER OF STATE (INDEPENDENT CHARGE) FOR POWER, COAL, NEW & RENEWABLE ENERGY AND MINES

( SHRI  PIYUSH GOYAL )

(a) to (e) : Yes,  Madam.    The  last  Conference  of  Power,  Renewable Energy and Mines Ministers of States and Union Territories (UTs) was held at Vadodara, Gujarat on 7th & 8th October, 2016, to review the implementation  of  the  central  schemes  and  programs  in  the  Power, Renewable Energy, Coal and Mines Sectors.  Based on the deliberations on Conference Agenda as well as suggestions made during the Conference, 58 resolutions were adopted.  The resolutions adopted in the Conference are given at Annexure.

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ANNEXURE  REFERRED  TO  IN  REPLY  TO  PARTS  (a)  TO  (e)  OF  UNSTARRED QUESTION NO. 4751 TO BE ANSWERED IN THE LOK SABHA ON 15.12.2016.

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RESOLUTIONS ADOPTED AT THE CONFERENCE OF POWER, RENEWABLE ENERGY AND MINES MINISTERS OF STATES AND UNION TERRITORIES (UTs) WAS HELD AT VADODARA, GUJARAT ON 7TH & 8TH OCTOBER, 2016

## POWER DISTRIBUTION

- 1) States which have not yet joined Ujwal Discom Assurance Yojana (UDAY) and desire to do so, will give in-principal approval by 30th November, 2016 and finalize MoU latest by 31st December, 2016.
- 2) All  states  under  UDAY  will  upload  operational  parameters  monthly  and financial parameters quarterly on UDAY portal for better monitoring.
- 3) States  will  award  the  works  relating  to  electrification  of  un-electrified villages  latest  by  30th  November  2016  and  remaining  works  sanctioned under Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY)  not later than 31st March 2017.
- 4) States will electrify all remaining un-electrified villages by 31st December,  2016  except  those  in  Left  Wing  Extremism  (LWE)  areas  and remote  hilly  regions,  for  which  efforts  will  be  made  by  the  concerned States to electrify such villages by 1st May, 2017.
- 5) States  reiterate  to  ensure  access  to  electricity  to  100  %  households  in 18452 villages by 15th August, 2017 by organizing camps in these villages with on-spot completion of necessary formalities and release of electricity connections on priority.
- 6) States also reiterate the timelines as shown below, agreed in the previous conference  held  in  June  2016  to  provide  electricity  access  to  100% households in all the villages in India:
- 8) States  will  integrate  existing  Meter  Data  Acquisition  System  (MDAS), DISCOM website & Call centers with Urja Mitra App and agree to provide customer information about outages through SMS by December 2016.
- 9) States  will  share  Master  data  and  Java  Script  Object  Notation  (JSON) formats of 11KV Rural Feeders  for integration with National Power Portal (NPP) by October, 2016.
- 10) States  will  facilitate  installation  of  modems  &  implementation  of  Rural Feeder Monitoring Scheme by December, 2016.
- 11) States  will  submit  proposals  for  IT  enablement  of  balance  2600  towns under Integrated Power Development Scheme (IPDS) by 31st December, 2016,  to  enable  sanction  by  Ministry  of  Power  (MoP)  by  31st  January, 2017. Subsequently, States will appoint implementing agencies progressively  but  not  later  than  31 st   March  2017  so  as  to  complete projects no later than 30th September, 2017.
- 12) States  will  ensure  issuance  of  NIT  and  subsequent  award  for  IPDS projects  not  later  than  31st  December,  2016  and  claim  next  tranche  of grant as per scheme guidelines by 1st January, 2017.
- 13) States (Rajasthan-81, J&K-21, Tamil Nadu-21, Puducherry-4, Goa-2, Arunachal-10,  Nagaland-9,  Mizoram-8,  Meghalaya-4,  Manipur-1,  Bihar-1, Jharkhand-5)  will  ensure  Go-Live  of  balance  towns  under  R-APDRP  PartA(IT) by 31 st  March 2017.
- 14) States  (especially  UP,  Rajasthan,  TN,  Haryana)  will  ensure  porting  data from 11KV  feeders  of Go-Live towns  to Urban  Distribution Feeder Monitoring  System  (UDFMS)  and  ensure  pushing  transaction  data  on regular basis by 31st March 2017. States will use the feeder monitoring data as a management tool to ensure better power reliability and AT&C loss reduction as per UDAY.
- 15) States will ensure sanitization of data provided for 'URJA App' to ensure accurate  information  about  various  'consumer-related'  and  'DISCOMrelated' parameters in public domain.
- 16) All States to ensure provision of reporting power theft on '1912' and make it toll-free.

|   Sl. No. | State                                                                    | Target                                                                         |
|-----------|--------------------------------------------------------------------------|--------------------------------------------------------------------------------|
|         1 | West Bengal , Haryana, Kerala, Goa, Himachal Pradesh, Tamil Nadu and UTs | March 2017                                                                     |
|         2 | Maharashtra, Telangana and Chhattisgarh                                  | March 2017 (Except LWE Areas) March 2018 (LWE Areas)                           |
|         3 | Jammu & Kashmir                                                          | 15th August 2017                                                               |
|         4 | Sikkim                                                                   | March 2018                                                                     |
|         5 | Assam, Odisha, Rajasthan, Madhya Pradesh                                 | March 2018                                                                     |
|         6 | Bihar                                                                    | 20 lakh Households by March 2017 and all remaining households by December 2018 |
|         7 | Uttar Pradesh                                                            | 90 Lakh Households by March 2018 and balance by March 2019                     |
|         8 | Uttarakhand and other remaining States                                   | December 2017                                                                  |

## HYDRO POWER

- 17) Incentives available to Small Hydro Projects 25 MW may be extended to the power project upto 100 MW. For others, a case to case approach may be considered.
2. 18)
3. Entire Hydro Power may be deemed as Renewable Energy.
- 19) Extending low cost credit to Hydro Power Project and access to NCEF will be explored.
- 20) Hydro Power may be included under RPO, as a separate component.

## TRANSMISSION

- 21) States resolve to adopt the guidelines issued by MoP via OM No. 3/7/2015Trans  dated  15th  October,  2015  to  have  a  uniform  methodology  for payment of compensation for 'Right of Way' of transmission lines
- 22) A Committee having Members from Ministry of Power, Railways, CEA and POSOCO will be constituted to frame guidelines for permitting crossing of railways lines by transmission lines so that process of approval for such crossing could be expedited.

## UTILIZATION OF URS POWER

- 23) States  shall  use  the  option  of  lending  URS  (Un-requisitioned  surplus) power  to  reduce  the  cost  of  power.  If  required,  necessary  changes  in regulation / grid code may be made to provide for a deemed approval by procurers upto, say 50%,in case where producers do not give current on time.
- 24) A  committee  will  be  constituted  on  "Merit  Order  Dispatch"  under  the Chairmanship of Chairman, CEA with ToR given in Annexure.

## FLEXIBILITY IN COAL UTILIZATION

- 25) State  shall  use  the  provision  of  flexibility  in  coal  utilization  to  further reduce the cost of power. MoC shall facilitate in getting the supplementary agreement signed at the earliest with NTPC and States.

## National Electricity Plan (NEP)

- 26) States  to  study  the  draft  National  Electricity  Plan  prepared  by  Central Electricity  Authority  (CEA)  and  circulated  to  the  States  and  send  their comments by end of November 2016.

## CAPTIVE GENERATION

- 27) States to send their comments on the proposed amendment in the Rules put on website by MoP (of Captive Power generation provisions). States will send changes required in regulatory framework, if any, to be taken up with the FOR (Forum of Regulators) within two weeks.

## ENERGY CONSERVATION

- 28) States  shall  mandate  ECBC  by  December  2017  with  the  objective  that new commercial buildings will be ECBC compliant.
- 29) States  will  establish  ECBC  Cells  by  December  2017  in  State  Urban Development  Departments  /  PWDs  to  support  and  implement  energy efficient building construction.
- 30) States  will  implement  state-wide  regulatory  mechanism  by  December, 2017  for  mandating  the  use  of  BEE  Star  Labelled  pump  sets,  as  far  as possible, for new agriculture pump connection, including solar pump sets.
- 31) States will endeavour to implement the Agriculture Demand  Side Management  projects  through  Savings  based  model  or  Annuity  based model as suitable for their States.

## COAL RELATED ISSUES

- 32) State GENCOs  shall clear the outstanding over dues in monthly installments latest by 30th June, 2017 (with interest/surcharge).In case of any disputed dues, the same may be settled with mutual reconciliation or alternatively the issues may be taken up in ADRM for speedy resolution.
- 33) In view  of sufficient indigenous  coal  availability unless  technically required or commercial commitments to be fulfilled, States shall endeavour that no coal based power plant shall import coal.

## RENEWABLE ENERGY SOURCES

- 34) Potentially rich areas for installation of Renewable Energy Projects will be identified  and  advance  planning  for  evacuation  and  transmission  of Renewable Power in an effective and coordinated manner  will be carried out.  Necessary  regulations  to  do  advance  planning  and  creation  of infrastructure will be drawn up for consultation by 31st January, 2017.
- 35) Around  19,300  MW  of  solar  capacity  has  been  tendered.  States  will facilitate setting up of these power plants and sign PPAs/PSAs as may be required,  addressing  issues  of  unilateral  termination,  'must  run'  status and payment security mechanisms.
- 36) Fresh tendering of solar projects including PPAs, up to 20,000 MW will be done by 30th June, 2017.
- 37) States  will  ensure  speedy  implementation  of  renewable  projects,  by addressing issues of Land acquisition, PPAs and  Grid Integration.
- 38) Renewable Energy projects  are  'must-run'  projects  and,  therefore,  they are not to be backed down. In case of backing down charges will have to be paid. Necessary regulations in this regard will be formulated.
- 39) For  promotion  of  Solar  Rooftop  Projects,  SERCs  of  Jammu  &  Kashmir, Telangana,  the  North-eastern  States,  except  Assam  and  Tripura  shall notify regulations to allow net metering/ feed-in-tariff by 31st March, 2017. Further,  DISCOMs  will  streamline  their  processes  and  develop  online mechanisms by 30th June, 2017 to provide grid connection.
- 40) Kisan Urja Sashaktikaran Mission (KUSUM), the proposed Mission, would enable  optimal  use  of  waste  lands  and  encourage  hybridization  and enable  earning  of  additional  income  for  farmers.  Concerned  DISCOMs shall  be  responsible  for  providing  connectivity  of  the  farmer's  solar  PV power project to the nearest grid sub-station.
- 41) States will adhere to time schedules for achieving Project commissioning of over 25,000 MW of renewable energy projects during the Financial Year. If  need  be,  SPDs,  who  complete  &  commission  the  projects  ahead  of scheduled date will not be penalized.
- 42) The States shall discourage squatting on wind-potential sites by ensuring strict adherence to the time line fixed for installation of projects.
- 43) The States shall take stock of wind power projects already commissioned and yet  to be commissioned. The issue of signing PPAs will be resolved in a time bound manner.
- 44) The States shall evolve a mechanism for timely payment to solar and wind power generators and will ensure that, in no case, the delay is more than 2 months (paid with interest). Further, transparent norms will be followed for payment to all parties equitably, with no discrimination between solar and wind generators.
- 45) For smooth implementation of AJAY scheme for street lights' electrification, eligible States and DISCOMs shall provide full assistance to EESL for installation by 31st March, 2017. Similarly for providing solar lamps  to  students,  the  States  shall  provide  support  to  IIT-Bombay  and SECI.
- 46) In  off-grid  schemes,  the  States  shall  follow  transparent  process  for ensuring competitive  pricing  in  all  segments  of  renewable  energy.  Such projects can be used for energizing the un-electrified households.
- 47) The State shall start forecasting and scheduling of wind power either by utilizing the services of NIWE or any other agency. Metering and communication infrastructure shall be installed at all pooling stations for real time generation of data. The States shall finalize and notify the mechanism for scheduling  and  forecasting  for  intra-state  transmission  of  solar  and  wind power.
- 48) Intra-state  transmission  &  wheeling  charges  will  be  levied  on  kWh  basis  to facilitate both intra and inter-state sale of renewable power in the States.
- 49) Issues relating to (a)  Unilateral termination (b) 'Must-run' and  (c) Payment security will be addressed urgently so that tariff of renewable energy comes down further.
- 50) The States shall initiate capacity building of DISCOMs/SERC/SNA officers and entrepreneurs  in  renewable  energy.  Further,  each  State  may  nominate maximum  number  of  official  for  training  programme  being  conducted  by MNRE.
- 51) States shall make rooftop solar installation mandatory in all new buildings / constructions. Further, the process of approval for rooftop solar subsidy and approval of building plan approved by Municipal Corporation shall be integrated.

## MINES

- 52) Preparedness for e-auction of Major Mineral Blocks- The State Governments to  auction  61  proposed  blocks  in  2016-17  and  also  re-auction  the  annulled blocks by March, 2017. Further, the States will expedite the mineral auction preparedness for 2017-18 and beyond.
- 53) Setting up of District Mining Fund (DMF) -The DMF will be set up in all districts by the States. Identification and implementation of projects under DMF will be done  in  line  with  the  PMKKKY  (Prandhan  Mantri  Khanij  Kshetra  Kalyan Yojana) Scheme. The DMF needs to be constituted for Minor Minerals also by the  State  Government.  The  State  Governments  should  regularly  monitor collection  of  funds  and  implementation  of  schemes  under  DMF,  to  give  the maximum  benefit  to  local  people.  The  State  Governments  to  prepare  the portal for PMKKKY on the lines of the portal developed by State Government of Odisha.
- 54) Exploration  Policy - The  mechanism/procedure  to  be  followed  for  reverse auctioning/allotment of exploration blocks under the New Mineral Exploration Policy will be finalized by the Ministry of Mines.
- 55) Star  Rating- The  system  of  Star  Rating  also  to  be  adopted  by  the  State Governments for minor minerals.
- 56) Curbing Illegal Mining through Mining Surveillance System (MSS) -  The States are required to get the field verification done of the trigger generated by the MSS  within  the  specified  time  period  of  7  days,  through  the  district  level officers. The district wise nodal officers to whom the triggers should be sent may  be  registered  with  the  MSS.  The  State  Governments  will  support  the Government of India's initiative of development of Mining Surveillance System (MSS) for major minerals.  The State Governments to take up the project of Satellite Mapping and Digitization for Minor Minerals by January, 2017.
- 57) Minor mineral rules -Transparent systems for grant of mineral concessions for minor minerals will be adopted by the States, so that the directives issued by the Ministry, under 20A, should be in place by December, 2016.

58) Processing  of  saved  Mining  Lease  Applications  before  11th  January,  2017  The  State  Governments  will  expedite  the  decisions  on  cases  pending  for action or decisions, on their part, in respect to the mining lease applications which  were  saved  by  Section  10A  (2)  (c)  of  the  MMDR  Act,  subject  to fulfillment of the conditions of the previous approval or of the letter of intent, with the time line up to 11th January, 2017.

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