Power cuts across Rajasthan have intensified public discomfort during the peak of summer, even as the state maintains surplus generation capacity. This paradox has reignited criticism of the government's planning, with stakeholders urging a shift from new projects to strengthening distribution networks.
RERC Rejects Direct Approval for New Coal Project
The debate sharpened after the Rajasthan Electricity Regulatory Commission (RERC) declined direct approval for a proposed 3,200 MW coal-based round-the-clock project. In its May 15 order, the Commission noted that Rajasthan already has adequate coal and nuclear tie-ups to meet firm demand until FY36, leaving the state in surplus.
The state government is already forcing solar power producers to cut production due to daytime surplus and a lack of adequate battery storage capacity.
Current Capacity and Future Requirements
According to RERC, Rajasthan has 4,735 MW of planned and tied-up coal and nuclear capacity against a requirement of 4,440 MW, resulting in a surplus of 295 MW. Projects backed by Cabinet approvals and memorandums of understanding (MoUs) with NTPC, Coal India Limited (CIL), and Singareni Collieries Company Limited (SCCL) were deemed sufficient. The commission stressed that fresh procurement must follow updated resource adequacy assessments.
The order directed power distribution companies (discoms) to reassess residual demand after accounting for nuclear capacity, reserve margins, and retirement schedules. It warned that joint venture (JV) and MoU projects cannot be disregarded without formal cancellation by competent authorities. Expansion projects at Chhabra and Kalisindh, allocations from Singrauli and Khurja, and the Mahi Banswara nuclear project were cited as advanced and cost-effective options.
Endorsement of Tariff Policy and Nuclear Power
The commission also endorsed the state’s Tariff Policy, 2016, noting that expansion of existing plants benefits from shared infrastructure and is cheaper than new projects. Nuclear sources, it said, merit “serious consideration” for Rajasthan’s planning horizon.
Stakeholders Criticize Distribution Infrastructure
Stakeholders argue that the disconnect lies in distribution. “Instead of pushing another 3,200 MW project, the energy department should strengthen infrastructure so consumers don’t suffer outages,” a stakeholder said. Another added that the tender route could cost Rs 1.5 to Rs 2 more per unit compared to MoU-based expansions.
Inconsistencies in Filings by RUVNL
RERC’s order also highlighted inconsistencies in filings by Rajasthan Urja Vikas Nigam Ltd (RUVNL), including shifting positions on MoU cancellations and withholding of Cabinet approvals. The commission disallowed reliance on such incomplete submissions.
While surplus capacity is proven, the persistence of power cuts underscores that Rajasthan’s challenge lies not in generation but in delivery, a gap that continues to frustrate consumers despite abundant supply.
