Notas biográficas: el origen del interés por la didáctica de las

“Electricity” is a concurrent list subject at Entry 38 in List III of the seventh Schedule of the Constitution of India, this means that both the Central government and state governments are empowered to establish policy and laws for electricity sector. The Ministry of New and Renewable Energy, Government of India (“MNRE”), previously known as the Ministry of Non-Conventional Energy Sources, is the nodal agency of the Government of India for all matters relating to non- conventional or renewable energy, including wind and solar energy. The wind power program in India was initiated in 1983- 84. In 1981, the Commission on Alternative Sources of Energy (“CASE”) was constituted and was charged with the responsibility of formulating policies in respect of renewable or nonconventional sources of energy and their implementation, developing and implementing programmes for development of new and renewable energy apart from coordinating and intensifying research and development in the sector. In 1982, the Department of Non-Conventional Energy Sources (“DNES”) was created under the Ministry of Energy, Government of India for promoting activities relating to development, trial and induction of variety of renewable energy technologies for use in different sectors. In 1992, the MNRE started functioning as a separate Ministry of the Government of India to develop all areas of renewable energy. Thereafter, MNRE has issued various policy guidelines to all the states with a view to promote commercial development and private investment in this sector. The guidelines pertain to areas such as preparation of detailed project reports, micro- sitting, selection of wind turbine equipment, operation and maintenance and performance evaluation. Various states in India have introduced renewable energy policies following the MNRE’s Guidelines.

Ministry of New and Renewable Energy, Government of India:

The mandate of the MNRE includes research, development, commercialization and deployment of renewable energy systems and devices for various applications in rural, urban, industrial and commercial uses. In order to ensure quality of wind farm projects and equipment, the MNRE introduced the MNRE Guidelines. The MNRE Guidelines were superseded by the revised guidelines issued on June 13, 1996, and have been periodically updated since. The MNRE Guidelines, inter alia, make provision for proper planning, installation at specific approved sites, selection of quality equipment, implementation and performance monitoring of wind power projects. The MNRE Guidelines were made mandatory through revised guidelines issued on May 24, 1999. In 1987, MNRE established the Indian Renewable Energy Development Agency Limited (“IREDA”), a financial institution under the administrative control of the MNRE to complement the role of MNRE. IREDA is involved in extending financial assistance and related services to promote deployment of renewable energy systems in India. In addition, MNRE has established the The National Institute of Wind Energy (“NIWE”) (Formerly Known as Centre for Wind Energy Technology (“C-WET”)) at Chennai, India, which is the major specialized technical institution, performing inter alia, functions such as, development of components and sub-systems, testing of WTGs, certification of wind turbines and identifying resource rich regions of India.

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Strategic Plan for New and Renewable Energy Sector for the Period 2011-17 (“Strategic Plan”)

The Ministry of New and Renewable Energy (“MNRE”) has prepared this Strategic Plan for the period 2011-17 (Covering the last year of the 11th plan and the next 5 years period of the 12th plan) and perspective till 2022, which seeks to articulate the goals of the Ministry, the strategy to be adopted by it during this period to achieve these goals and the corresponding action plan. MNRE’s Strategic Plan inter-alia sets out as its key components:

• Vision, Mission and Objectives to be achieved by the end of the year 2022 • Strategy for promoting the sector and achieving desired outcomes

• Implementation plan outlining the timelines, resources required and tools for tracking and measuring success. The vision of MNRE is to upscale and mainstream the use of new and renewable energy sources in furtherance of the national aim of energy security and energy independence, with attendant positive impact on local, national and global environment. One of the key objectives of the MNRE is promotion of grid-interactive renewable power generation projects. The Strategic Plan has also inter-alia provided a sector specific implementation plan. For the purposes of the Wind

Power sector, the implementation plan includes inter-alia the following activities, which are ongoing:

• Wind Resource Assessment: Updating/ expansion of existing data base and off-shore resource assessment. • Regular interaction with all stakeholders to periodically address policy, regulatory, evacuation transmission matters for wind power.

• Regular interaction with States to periodically address land acquisition, E&F clearance and State policy issues. In terms of the Strategic Plan, the MNRE is to continue to work closely with Central and State Regulatory Agencies to promote facilitative framework for promotion of renewable energy technologies which includes a wide array of issues.

Guidelines for Wind Power Projects (“Wind Power Guidelines”)

To ensure quality of wind farm projects and equipment, MNRE introduced the “Guidelines for Wind Power Projects”. The Wind Power Guidelines were issued for the benefit of inter-alia the erstwhile State Electricity Boards, State Nodal Agencies, manufacturers, and developers of the wind farms and end-users of energy to ensure proper and orderly growth of the wind power sector. These Wind Power Guidelines have been reviewed and amended from time to time. The Wind Power Guidelines, inter-alia, provides for proper planning, selection of quality equipment and implementation, performance and monitoring of wind power projects. The erstwhile State Electricity Boards and State Nodal Agencies are responsible for clearance of wind power projects and issue of No Objection Certificates subject to certain conditions laid down in these Wind Power Guidelines which inter-alia includes type approval and quality system certification of wind turbines and other equipment used. The Wind Power Guidelines were amended to inter-alia allow manufacturers of wind turbines to provide self certification of the quality and performance of their equipment. In the event that their machines are found not to perform as per the performance certified by them, such manufacturers would be penalized. This facility of self certification was amended to inter-alia extend it to the machines which are already under testing or certification by the erstwhile Centre for Wind Energy Technology (“C-WET”) and any other machines that may be offered and are taken up for testing and certification for the period stated therein. Under these Wind Power Guidelines, the erstwhile C-WET formulated a Type Approval Provisional Scheme – 2000 (“TAPS-2000”) which covers testing/certification of wind turbines. This TAPS-2000 scheme has further been reviewed and amended from time to time.

Wind and Solar power generation under The Electricity Act, 2003 (“Electricity Act”)

Under the Electricity Act 2003, which repealed all the earlier enactments pertaining to this sector, the activity of generating power does not require any license or permission. Persons engaged in the generation of electricity from wind and solar power are required to register the project being undertaken with the relevant state nodal agency and obtain permission for inter-grid connectivity from the utility. The electricity generated from the wind and solar power project can be used for captive consumption, sale to utilities or for transaction under open access as per 96 prevailing state policy and regulatory

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orders, if any. Various Indian state commissions have mandated a certain percentage of energy procurement from renewable energy sources, and have also set tariffs for such procurement by various distribution companies.

The tariffs are based on relevant tariff orders/regulations passed by different regulatory commissions for specific states. Charges for captive users and sales to third party consumers, along with cross subsidy surcharge are at times independent of the tariff orders/regulations passed by the commission for specific technology. In this regard, the rates for captive/third party sales may change from year to year, or may be fixed (if specified in the purchase contract for the wind energy generator). Further, the Electricity Act, 2003 also mandates that all regulatory commissions should procure certain percentage of power generation from renewable energy sources by all distribution companies. As far as the tariff and wheeling charges are concerned, it is stipulated that they should be decided by respective regulatory commissions as provided under the Electricity Regulatory Commissions Act, 1998, as amended (the “ERC Act”).

The CERC has introduced the Central Electricity Regulatory Commission (Terms and Conditions for Tariff Determination from Renewable Energy Sources) Regulations, 2009, as amended, (the “Tariff Regulations”) which are applicable in all cases where the CERC determines tariff for a generating station or a unit thereof under Section 62 read with Section 79 of the ERC Act. The regulations set out (a) the eligibility criteria for these regulations to be applicable to certain wind power projects having a specified wind power density and using new WTGs, and (b) the manner in which the tariff applicable to power projects may be evaluated, for example, the applicability of these regulations is subject to the wind power project, among other criteria. Chapter 3 of the Tariff Regulations specify the technology-specific parameters for projects involving wind energy. In certain cases, the tariff may be assessed on a case-to-case basis.

Electricity Rules, 2005

In order to develop the electricity Industry and protect consumers, “Ministry of Power” has notified, Electricity Act and rules thereunder. To enable surplus power generation and to loosen the tight grip of state electricity boards, the Ministry of Power, Government of India has issued these rules notifying “Group Captive Power Consumption Scheme”.

Salient features of this Scheme are:

1) Captive generating plant was defined as one in which captive consumers (a) hold a minimum of 26% of the ownership.

(b) consume not less than 51% of the aggregate generation computed on an annual basis

2) If the generating plant was set up by a registered cooperative society the consumers collectively have to consume not less than 51% of the aggregate generation implying that in case of any other form of entity, this obligation is to be in proportion to the ownership rights.

3) The tariff determined by CERC for generating companies shall not be subject to re-determination by the state commission.

4) The licenses to trade electricity for interstate operations is issued by the Central Commissioner.

As such, electricity generation companies can freely sell electricity to the captive consumers with little intervention from state electricity boards.

The National Tariff Policy, 2006 (“National Tariff Policy”)

The Electricity Act inter-alia empowers the Central Government to formulate the National Tariff Policy and also interalia requires that the Central Electricity Regulatory Commission and State Electricity Regulatory Commissions are guided by the tariff policy in discharging their functions. Accordingly, the Ministry of Power has formulated the

National Tariff Policy which lays down the following objectives:

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• Ensuring financial viability of the sector and attracting investments;

• Promoting transparency, consistency and predictability in regulatory approaches across jurisdictions and minimizing perception of regulatory risks;

• Promoting competition, efficiency in operations and improvement in quality of supply.

The National Tariff Policy has inter-alia laid emphasis on the importance of providing adequate return on investment in the power sector. Accordingly, the Central Electricity Regulatory Commission (“CERC”) in consultation with the Central Electricity Authority would be required to formulate operating norms for generation and transmission and tariff structures on the basis of the aforesaid objectives embodied in the National Tariff Policy. The State Electricity Regulatory Commissions are further required to adopt such norms formulated by the CERC in consultation with the CEA. The National Tariff Policy also mandates that in terms of the Electricity Act, the Appropriate Commission shall specify the minimum percentage for purchase of energy produced from non-conventional energy sources.

The Electricity Regulatory Commissions Act, 1998

The Electricity Regulatory Commissions Act, 1998 provides for the establishment of a Central Electricity Regulatory Commission and State electricity Regulatory Commissions, rationalization of electricity tariff, transparent policies regarding subsidies, promotion of efficient and environmentally benign policies and matters connected therewith or incidental thereto. The main object of act is to solve the problems that impede India's power sector to respond to the rapidly growing demand for energy brought about by economic liberalisation.

G.O.Ms.No.58 Energy (A1) Department dt. 17.3.1999 of Tamil Nadu

Consequent to the enactment of Electricity Regulatory Commissions Act, 1998; the government of Tamil Nadu has established the Tamil Nadu State Electricity Regulatory Commission for rationalisation of electricity tariff, transparent policies regarding subsidies, promotion of efficient and environmentally benign policies and for matters connected therewith or incidental thereto. In addition the TNERC has powers and duties as stated in the Electricity Regulatory Commissions Act, 1998.

Indian Electricity Grid Code (“IEGC”)

The Indian Electricity Grid Code (IEGC) is a regulation made by the Central Commission in exercise of powers under Section 79 read with Section 178 of the Act. The IEGC also lays down the rules, guidelines and standards to be followed by various persons and participants in the system to plan, develop, maintain and operate the power system, in the most secure, reliable, economic and efficient manner, while facilitating healthy competition in the generation and supply of electricity. The main objective is to brings together a single set of technical and commercial rules, encompassing all the Utilities connected to/or using the inter-State transmission system (ISTS)

Tamil Nadu Electricity Grid Code (“TNEGC”)

The TNERC by exercising it's powers under section 86(1) of the Electricity Act, 2003 has specified the "Tamil Nadu Electricity Gird Code"(TNEGC). The Grid standards specified under the TNEGC shall be consistent with the "Indian Electricity Grid Code"(IEGC). The code defines main functions connected with the network(viz., generation, transmission, distribution and supply) and also lays down the rules, guidelines and standards to be followed by various players(agencies and participants) in the system to plan, develop, expand, maintain and operate the power system in the most efficient, reliable, safer and economic manner. This grid code is consistent with the Indian Electricity Gird Code and national Grid Standards formulated by Central electricity authority.

Tamil Nadu Energy Development Agency

TEDA is a government undertaking established as a society under the Societies Registration Act in 1985 with the onus of promoting and proliferating the New and Renewable energy sources in Tamil Nadu. It also acts as the Nodal agency for Renewable energy related interests in the state. TEDA works towards creating awareness and migrating the state from using fossil fuels to renewable energy.

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Comprehensive Tariff Order no.3 of 2016 on Wind Energy by TNERC on 31-03-2016

TNERC has issued a comprehensive tariff order for electricity generated by wind energy projects in Tamil Nadu considering various normative tariff assumptions like tariff period, capital cost per megawatt, O&M cost, depreciation, PLF, ROE etc. The tariff announced for wind energy projects is ₹4.16/Unit and ₹3.70/Unit*(*adjusted for higher depreciation benefit). LABOUR LAWS

The following is an indicative list of labour laws applicable to our business:

 Payment of Gratuity Act, 1972

 Workmen’s Compensation Act, 1923

 The Contract Labour (Regulation and Abolition) Act, 1970

 The Contract Labour (Regulation and Abolition) Central Rules, 1971

 The Employees Provident Fund and Miscellaneous Provisions Act, 1952 (“Act”) and the schemes formulated there under

 Employees State Insurance Act, 1948

 The Maternity Benefits Act, 1961

 The Industrial Employment (Standing Orders) Act, 1946

 The Minimum Wages Act, 1948

 The Payment of Bonus Act, 1965

 Payment of Wages Act, 1936

 Tamil Nadu Labour Welfare Fund Act, 1972

 The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 OTHER LAWS

In addition to the above, our Company is also required to comply with the provisions of the Companies Act, 2013, Companies Act, 1956, to the extent applicable, and rules framed thereunder and other applicable statutes imposed by the Centre or the State Government and authorities for our day to day business and operations. Our Company is also subject to various central and state tax laws.

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