The expectation is that the RESCO, while acting as the producer of energy, must deliver it only when “triggered” to so by the tower company.

So what happens when a solar photo voltaic-dependent RESCO is receiving abundant sun radiance at a time the grid is serving the telecom infrastructure? The RESCO will not be called to serve the telecom site.

The RESCO has a choice to, either waste the energy produced, supply it to other users or deposit in a bank of batteries, to be retrieved later when called by the tower company.

Wastage would be criminal, supplying all energy produced to other users will place it in potential default of a service level agreement by the tower company. Hence, it must store it safely.

The same will hold good for other sources of renewable energy as well.

The RESCO must also prepare to pay penalties if it does not deliver the committed quantum of energy it had signed up for, to the tower infrastructure. When it must deliver that energy is not known, it awaits a trigger from the tower company for that.

In return for this commitment there is noreciprocal promise of committed off-take - given the likely variance in grid supply and load. There is however, an expectation that cost of energy delivered year-on-year will reduce and such reduction should be passed on to the tower company.

The business model for a RESCO must include serious investment in energy storage and delivery on call. This is not what the primary grid does, and despite deficiency in its performance and delivery of the quantum of energy needed, there is no penalty levied by the recipient on the grid supplier!