Third Party Power
A provision for open access was created in The Electricity Act, 2003, enabling private purchase and sale of power for parties with contract demand greater than 1 MW. It requires permission from and payment of infrastructure usage charges, determined by the electricity regulatory commissions, to the respective agencies. Wind and solar power can be purchased through open access 3rd Party Power across many states in India.
Open Access Power
- Requires no separate infrastructure. Power is delivered through the existing line.
- Can be cheaper than grid power.
- Typically allows a higher displacement of energy, than on-site options, since there are no space/location restrictions.
- Allows for variability in consumption in some cases.