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Govt Gives Extended Relief to Renewable Projects Delayed Due to Covid

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The government has extended relief to the renewable sector amid the second wave of the Covid-19 pandemic by allowing an extension of two-and-a-half months for power projects with commissioning dates between April 1 and June 15, 2021.

The Ministry of New and Renewable Energy (MNRE) has notified the changes that will prevent developers from being charged penalties for delaying commissioning of projects beyond the agreed timelines.

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With the second wave of the pandemic resulting in lockdowns in different parts of the country, work on several power projects also got suspended, resulting in commissioning delays.

Last month, MNRE issued a notification allowing renewable projects with commissioning dates on or after April 1, 2021, an extended schedule subject to continuing of existing PPAs and no increase in project cost due to delays.

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Even last year, during the Covid outbreak and lockdowns, MNRE had given an extension of five months to projects getting commissioned between March 25 and August 24, 2020.

The power ministry has also granted an extension of three months to all interstate transmission projects under construction, with the scheduled commercial operation date (SCOD) falling after April 1, 2021, hit by the resurgence of the Covid-19 pandemic.

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