State-run National Transmission Corp. (TransCo) has filed an application with the Energy Regulatory Commission seeking to increase the feed-in tariff allowance (FIT) to 10.06 centavos per kilowatt-hour in 2025.
As the administrator of the FIT-All Fund, TransCo is responsible for determining the annual FIT rate and submitting the application to the ERC. The FIT-All is a uniform charge levied on all electricity consumers who receive power through the distribution or transmission network.
The ERC sets the FIT-All rate annually, considering the forecasted revenue needs of eligible renewable energy plants. The current FIT-All rate is 8.38 centavos per kWh.
TransCo said a provisional authority would allow it to fulfill its duties and ensure timely payments to renewable energy developers. A delay in approving the 2025 FIT-All rate or denying the provisional authority could lead to a shortfall in the FIT-All Fund, hindering TransCo’s ability to pay FIT revenues promptly and in full.
The company warned that delayed or partial payments would incur interest and result in additional charges to consumers.
TransCo said it limited the determination of the FIT-All rate to include only eligible or projected eligible renewable energy capacities up to the installation targets set by the Department of Energy.
These included 543.63 megawatts for solar plants up to March 15, 2016; 393.90 MW for wind plants that became operational after the Renewable Energy Law; 33 MW for pre-Renewable Energy Law plants; 259.26 MW for biomass plants as of March 2024; 204.151 MW for run-of-river hydropower plants under the Renewable Energy Law, plus an additional 75.88 megawatts for pre-Renewable Energy Law plants.
The company said that for solar and biomass plants, it considered capacities a little beyond the installation targets set by the DOE due to the principle of commercial and technical indivisibility of projects.
TransCo also incorporated 1,865.13 MW of renewable energy plants under the Green Energy Auction-1; and 3,440.76 MW of renewable energy plants under the Green Energy Auction-2.
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