An inter-ministerial group (IMG) on Friday approved revised Case 1 bidding guidelines, clearing the policy hurdles for states to buy power from projects where developer is responsible for arranging all physical and statutory clearances for project execution.
The move would benefit projects with combined capacity of 40,000 mw, including those of Adani Power, Lanco Power and Indiabulls.
Power minister Jyotiraditya Scindia is expected to give his nod to the revised norms soon.
Sources said new norms allow 100% pass-through of domestic and imported coal costs.
But discoms will also have the choice not to buy costly power generated from imported coal. Generator can sell unutilised power in the free market. Besides, the power company will also be entitled to 70% of the fixed charges from discoms.
The power ministry has completed review of the bidding guidelines after two years or so. Pending review, majority of discoms had put on hold their power purchase plans.
