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Home » News » The government implements strategies to activate gas power plants to meet summer electricity demand

The government implements strategies to activate gas power plants to meet summer electricity demand

April 17, 2024 11:14 am

The government implements strategies to activate gas power plants to meet summer electricity demand
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Directions under Section 11 are issued to ensure optimal power generation from gas-based generating stations.

To help meet the high electricity demand in the country during the summer season, the Government of India has decided to operationalise gas-based power plants. 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 by the directions of that government).

A significant portion of the GBSs is currently unutilised, 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 the generation and supply of power from May 1, 2024, to June 30, 2024.  

GRID-INDIA to inform Gas-based Generating Stations of Power Requirement
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.  

The decision to operationalise gas-based generating stations is part of a series of measures taken by the Government of India to ensure that the electricity demand in the summer season is met. The Union Minister for Power and New & Renewable Energy, Shri R. K. Singh, held a series of meetings on this, emphasising the need for ensuring adequate availability of power to meet the load during the hot-weather season.

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