India, Feb. 25 -- With each passing year, the climate situation is getting grimmer, prodding governments everywhere to push renewables-promoting policies to phase out fossil fuels. Among the oldest of India's several measures are the renewable purchase obligation (RPO) - mandating all bulk power buyers, such as distribution companies (discoms), to purchase a part of their requirement from renewable generation companies. As per the Electricity Act 2003, the share of mandatory renewable power is to be determined by the state electricity regulatory commissions (SERCs).

Initially, RPO focussed on a broad solar and non-solar classification; now, it includes hydroelectricity, waste to energy, and distributed renewable energy. The obligation ap...