The report attempts to assess the efficacy of the existing Renewable Purchase Obligation (RPO) policy mechanism with regard to national renewable energy targets and its performance in all states. The report also looks into developing a new differential RPO mechanism based on three criteria -- renewable energy potential; consumer profile / consumption pattern and purchasing capacity of each states to make the RPO mechanism far more rationalized and realistic; and suggesting realistic RPO targets for every state. The report also looks into key reforms at policy and regulatory level to create the right enforcement and financial environment for effective implementation of differential RPO mechanism across the country with equity and responsibility at the core of its implementation.