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Home News Power Sector News Karnataka plans to introduce 5 paise cess for green energy

Karnataka plans to introduce 5 paise cess for green energy

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Karnataka plans  to introduce 5 paise cess for green energyFollowing the neighbouring state Maharashtra, Karnataka’s nodal agency for promoting green energy - Karnataka Renewable Energy Development Limited (KREDL), submitted a proposal to Government to impose a green energy cess of five paise per unit on commercial and industrial consumers.

This means that the electricity bills may go up by five paise, a price which many would be happy to pay for green energy. Karnataka plans to promote power generation using renewable energy sources in comming years. KREDL will provide necessary assistance to enterpreneurs venturing in this area.

Recently-published draft of the renewable energy policy of Karnataka which has been in the making after the government took charge, explains that the proceeds from the ‘green energy cess’ will be set aside for KREDL to support and develop renewable energy projects, R &D projects, bio-fuel projects, energy efficiency and conservation, besides publicity and awareness of the benefit to the state.

Karnataka Renewable Energy Development Limited (KREDL) is formed to help Government for

  • Investigating the potential of renewables and identifying potential sites.
  • Collecting, collating and compiling information on renewables.
  • Obtaining feedback on programmes and policies of the Government in the Renewable energy sector.
  • Assisting the Government in formulating developer friendly policies and programmes.
  • Assisting the Government in selecting appropriate entrepreneurs for developing projects.
  • Monitoring the implementation of renewable energy projects by the developers.
  • Providing a feedback to the Government on the status of project implementation and generation of energy.

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