(1) The following tariff options, subject to mutual acceptance of both the parties, shall be available to the renewable energy generator and the distribution licensee, intending to sell/ purchase power from SHPs for the entire useful life of the project ,-
(i) to be governed by the generic levellised tariff to be determined by the Commission, in accordance with the regulation 13, in relation to the control period in which the Power Purchase Agreement for the project is approved.
(ii) to be governed by project specific levellised tariff to be determined by the Commission in accordance with the regulations 14 and 18, including the exit options available thereunder to the parties,
(iii) to be governed by any other tariff, as may be mutually agreed by them with the prior approval of the Commission, in accordance with the regulation 41.
(iv) to be governed by the process of competitive bidding in cases where the licensee resorts to competitive bidding.
(2) Where, after sale of net saleable energy to the licensee as per the Power Purchase Agreement(s) approved by the Commission under REC mechanism in the initial periods, the net saleable energy is to be sold to the distribution licensee for the residual period of the useful life of the project, the tariff for such sale for such residual period shall be regulated in accordance with the regulation 15.
(3) Where, after execution of a long term Power Purchase Agreement, the capacity of the project is enhanced with the approval of the State Government, the tariff shall be regulated under regulation 16.
(4) In case of the renewable energy sources, other than SHPs, the tariff options, as provided in regulation 17, shall be available to the parties intending to enter into Power Purchase Agreement for sale/purchase of power.
(5) The parties shall, while arriving at a mutual understanding about sale/purchase of power, also mutually decide the tariff option to be adopted, and shall, before submitting the joint petition for approval of the proposed Power Purchase Agreement under regulation 8, also reflect the same in the proposed Power Purchase Agreement:
Provided that the tariff option adopted in the Power Purchase Agreement shall be irrevocable and binding.