Centre approves CERC proposal for entering into a MoU with FERC

The Union Cabinet has approved the proposal of the Central Electricity Regulatory Commission (CERC) for entering into a Memorandum of Understanding with Federal Energy Regulatory Commission (FERC) and the US for exchange of information and experiences in the electricity sector.

It is understood that the MoU will help in improving regulatory and policy frameworks for developing efficient wholesale power market and enhancing grid reliability, an official release said.

The activities to be carried out under the MoU include identification of energy-related issues and develop topics and possible agendas for the exchange of information and regulatory practices in areas of mutual interest; organise visits by Commissioners and/or staff to participate in activities at each other’s facilities.

The scheme being implemented through ‘Powergrid’, a Public Sector Undertaking under the Ministry of Power in association with six beneficiary North Eastern States namely Assam, Manipur, Meghalaya, Mizoram, Nagaland and Tripura will  be commissioned by December 2021. After commissioning, the project will be owned and maintained by the respective North Eastern State Utilities.

The Cabinet Committee on Economic Affairs has also approved the Revised Cost Estimate (RCE) of North Eastern Region Power System Improvement Project (NERPSIP) at an estimated cost of Rs.6,700 crore.

This is a major step towards economic development of North-Eastern region, an official release said.

The main objective of the project is the government’s commitment for the total economic development of North Eastern Region and strengthen the Intra-State Transmission and Distribution Infrastructure in the North East Region.