KERC seeks help from stakeholders for determination of Rooftop Aero Turbine system’s tariff -OxBig News Network

After announcing the ambitious Rooftop Aero Turbine (RAT) project under which electricity consumers can install a small-scale wind energy plant which harnesses wind and produces electricity, the Karnataka Electricity Regulatory Commissioner (KERC) is now finding it difficult to determine the tariff for the same for the Financial Year 2025 – 26.  

The RATs can be installed by consumers either with solar rooftop photovoltaic (SRTPV) systems or even without them. However, unlike SRTPVs whose generation profile is generally predictable, due to various factors like region, presence of high-rise buildings etc it is not so easy to predict wind generation. 

Additionally, the Commission notes that there are no other power utilities who have determined RAT tariffs for comparison purposes.  

“Unlike solar PV, which has established benchmarks for capital costs, capacity utilisation factors (CUF), and tariff structures, rooftop aero turbines lack reliable data for regulatory consideration. Since no utility-scale or commercial rooftop aero turbine projects exist, it is impractical to assume a standard capital cost,” said officials from KERC.  

They added, “Wind patterns in urban and semi-urban areas, where rooftop installations would be placed, differ significantly from utility-scale wind farms.”

The Commission also noted that if the RATs are installed with SRTPVs, then the tariff should include both technologies, their CUFs and investments. “Since there are no existing projects, industry stakeholders, investors, and technology providers need to provide inputs on feasibility, cost structures, and expected performance,” the Commission says. The stakeholders are mainly required to propose the capital costs as the Commission has already proposed a few factors for tariff determination. These factors include life of the plant (which is assumed to be 25 years), CUF, capital cost, operation and maintenance cost among others. 

In case the Commission does not receive any proposals from the stakeholders, then the tariff will be determined on a project-specific basis to promote RATs with or without solar systems. 

KERC had announced that consumers can get these RAT systems installed on their buildings a few months ago to encourage decentralised and sustainable power generation and reduce the dependency on grid-based power to enhance energy security. 

Those who are interested in submitting their comments and proposals can either post them to the secretary of KERC or email [email protected] on or before March 18.