Power Ministry amends ISTS rules to delegate approval powers

The Ministry of Power has notified the Electricity (Transmission System Planning, Development and Recovery of Inter-State Transmission Charges) Amendment Rules, 2025, introducing a key change to the rules first issued in 2021.

The amendment inserts a new proviso in Rule 3(5), allowing the Central Government to delegate its powers to the National Committee on Transmission (NCT) and the Central Transmission Utility (CTU) for approving Inter-State Transmission System (ISTS) projects. 

This delegation is conditional and subject to cost limits specified by the government from time to time. High-value projects will remain under direct central oversight.

This change is intended to streamline the approval process for ISTS projects. By delegating approval powers, the government aims to reduce bureaucratic delays, improve responsiveness in project execution, and enable timely development of grid infrastructure needed to support India’s renewable energy targets.