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HERC affirms captive open access rights, subject to grid security

The Haryana Electricity Regulatory Commission (HERC) has directed Haryana Vidyut Prasaran Nigam Limited (HVPNL) to grant a No Objection Certificate (NOC) to Jindal Stainless Limited (JSL) for sourcing 100 MW of Round-the-Clock (RTC) renewable power from its captive Inter-State Transmission System (ISTS)-connected wind-solar hybrid projects in Gujarat and Madhya Pradesh for its manufacturing facility in Hisar.

In its order dated June 23, 2026, the Commission held that the decision of the Coordination Committee to deny the NOC during the peak summer months of June to August, while permitting it for the remainder of the year, was not legally sustainable.

Commission’s findings

The Coordination Committee had cited transmission constraints and the need to reserve transmission margins for Temporary General Network Access (T-GNA) during periods of high demand.

HERC observed that under Sections 9 and 39 of the Electricity Act, 2003, captive generating plants have a statutory right to open access, and the State Transmission Utility (STU) is required to provide non-discriminatory access, subject to the availability of adequate transmission capacity.

The Commission further noted that long-term General Network Access (GNA) has regulatory priority over T-GNA. It held that reserving transmission capacity for short-term access while denying a long-term GNA application was contrary to the principle of non-discriminatory open access.

Petitioner’s undertaking

The Commission also considered JSL’s undertaking to accept curtailment of up to 100 MW during transmission-constrained periods between June and August without claiming compensation from the state utilities.

JSL further agreed to bear all Deviation Settlement Mechanism (DSM) charges and scheduling risks associated with such curtailment.

According to the order, permitting JSL to source captive renewable power could reduce the procurement requirement of Haryana distribution companies (DISCOMs) by 100 MW, potentially resulting in annual savings of Rs 65 crore to Rs 100 crore while supporting renewable energy deployment.

Directions to HVPNL

HERC has directed HVPNL to develop the required operational protocols, formal undertakings and a compensation mechanism to implement the petitioner’s proposed concessions within two weeks of the order.

The Commission stated that the NOC should be issued only after these protocols are finalised to ensure grid security during peak summer months.

Case background

Jindal Stainless had applied to HVPNL in January 2025 for an NOC to procure 100 MW of RTC renewable power through inter-state GNA from its captive wind-solar hybrid projects.

The request was initially rejected by HVPNL. Subsequently, the Coordination Committee allowed the NOC only for the non-summer months, citing transmission constraints during the period when Haryana’s peak electricity demand is expected to exceed 16,500 MW.

Aggrieved by the partial approval, JSL filed a petition before HERC in March 2026.

The featured photograph is for representation only.

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