Shimla: SJVN's flagship 1500 MW Nathpa Jhakri Hydro Power Station has achieved registration for International Renewable Energy Certificates (IREC).
The REC would promote renewable energy and ensuring compliance with Renewable Purchase Obligations (RPO) on a global scale.
Sh. Nand Lal Sharma, Chairman & Managing Director of SJVN, announced that the 1500 MW Nathpa Jhakri Power Station has been officially registered for REC trading from 01.01.23 to 31.12.27.
With its design capacity, the station can trade approximately 57.5 lakh RECs annually, translating into an additional revenue of ₹10 crores annually for the company.
Renewable Purchase Obligations (RPO) have become a pivotal tool for governments worldwide to meet sustainability commitments and combat climate change by pushing industries towards renewable energy adoption.
To fulfill RPO requirements, industries can either generate renewable energy or purchase the necessary quantum.
To bridge the gap between available renewable energy and RPO needs, a market-based instrument known as Renewable Energy Certificates (REC) was introduced.
These RECs are designed to promote renewable energy and streamline RPO compliance. Entities can also fulfill their RPO by purchasing RECs from the energy exchange, with each REC representing the consumption of one Megawatt-hour (MWh) of renewable energy, Sharma said.