The Karnataka government will again go before the State power regulator seeking permission to impose a “green cess” on industries to raise funds to support the renewable energy initiatives.
Announcing this while participating in a seminar on “Renewable energy options in hotels, hospitals and technical institutions” organised by the Ministry of New and Renewable Energy, the Karnataka Energy Department and the Karnataka Renewable Energy Development Limited in Bangalore on Friday, Additional Chief Secretary K. Jairaj said the State was planning to raise additional resources to the tune of Rs. 50 crore a year through the proposed cess.
In the tariff petition filed before the Karnataka Electricity Regulatory Commission last year, the Bangalore Electricity Supply Company (Bescom) had proposed to levy a green cess of 5 paise a unit of power consumed by the Low Tension Industrial and Commercial consumers. But the commission had not considered such a proposal on the grounds that “such a levy is not a part of the tariff issue and hence it is outside the scope of the tariff order.”
However, Mr. Jairaj told presspersons later that this time an exclusive proposal would be made before the commission regarding green cess. He made it clear that the exact quantum of cess to be levied on every unit of consumption was yet to be worked out this time.
The cess amount would be used for building infrastructure for renewable energy projects such as laying new power lines for evacuation of power, he said and pointed out that such a system was in practice in the neighbouring Maharashtra. The government had formed an empowered committee headed by the Chief Secretary to provide clearances for renewable energy projects.