Regulatory Updates

Regulatory Updates

CERC grants transmission licences for five interstate projects
By October 29, 2025October 29, 2025

The Central Electricity Regulatory Commission (CERC) has approved transmission licences for five interstate transmission projects. The approvals include two projects under the Regulated Tariff Mechanism (RTM) awarded to Power Grid Corporation of India Limited (PGCIL) subsidiaries and three competitive bid projects granted to Adani Energy Solutions Limited, Dineshchandra R. Agrawal Infracon Pvt. Ltd., and another PGCIL subsidiary. On 26 October 2025, CERC granted separate RTM transmission licences to POWERGRID Kurawar Transmission Limited (PKTL) and POWERGRID…

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Regulatory Updates

CERC proposes buyout price under Renewable Consumption Obligation
By October 23, 2025October 23, 2025

The Central Electricity Regulatory Commission (CERC) has initiated a public consultation process to determine the buyout price that obligated entities may pay as an alternative to meeting their Renewable Consumption Obligation (RCO). The move follows the Ministry of Power’s notification introducing the RCO framework, which mandates that distribution licensees, open access consumers, and captive users maintain a minimum share of electricity consumption from renewable sources. Under the new framework, entities can comply with the RCO…

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Regulatory Updates

CERC proposes amendments to REC framework
By September 23, 2025September 23, 2025

The Central Electricity Regulatory Commission (CERC) has released draft amendments to the Renewable Energy Certificate (REC) regulations, marking the first revision since the rules were introduced in December 2022. The draft, published on 22 September 2025, seeks to address stakeholder concerns, update the multiplier system, and introduce provisions for Virtual Power Purchase Agreements (VPPAs). The Commission has invited public comments on the draft until 23 October 2025. Clarifications on eligibility and DISCOM timelines The amendments…

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Regulatory Updates

CERC proposes phased shift in deviation settlement for wind and solar generators
By September 11, 2025September 11, 2025

The Central Electricity Regulatory Commission (CERC) has issued a draft order proposing changes to the way deviations for wind and solar generators are calculated under the Deviation Settlement Mechanism (DSM). The new approach will come into effect from April 1, 2026. The DSM Regulations, 2024, notified last year, already provide for a reduction in tolerance bands. For solar and hybrid projects, the permissible deviation will move from ±10 percent to ±5 percent, and for wind…

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Regulatory Updates

CERC notifies third amendment to ISTS connectivity and GNA rules
By September 2, 2025September 2, 2025

The Central Electricity Regulatory Commission (CERC) issued the Connectivity and General Network Access (GNA) to the inter-State Transmission System (ISTS) (Third Amendment) Regulations, 2025 on 31 August 2025. The amendments revise multiple provisions related to renewable energy generating stations (REGS), hybrid projects, and energy storage systems (ESS). New definitions and classificationsThe amendment introduces several new terms. “Cluster of ISTS substations” refers to groups of substations declared by the Central Transmission Utility (CTU) based on location,…

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Regulatory Updates

GERC notifies Procurement of Energy from Renewable Sources Regulations, 2025
By August 19, 2025August 19, 2025

The Gujarat Electricity Regulatory Commission (GERC) has notified the Procurement of Energy from Renewable Sources Regulations, 2025, laying out fresh renewable power purchase obligations (RPPO) for the state. The rules mandate distribution companies, open access consumers, and captive power users above 100 kilowatts to procure a rising share of their electricity from renewable energy and storage until 2030. The regulations, published in the state gazette on August 12, 2025, repeal earlier frameworks issued in…

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Regulatory Updates

Karnataka revises electricity codes for renewable growth and grid stability
By July 24, 2025July 24, 2025

The Karnataka Electricity Regulatory Commission (KERC) has notified three major regulatory updates to strengthen grid operations, improve compliance, and support the state’s renewable energy transition. The revised Karnataka Electricity Grid Code (KEGC), 2025, Karnataka Electricity Distribution Code (KEDC), 2025, and Intra-State Deviation Settlement Mechanism Regulations, 2025 were issued in mid-July 2025 and replace earlier frameworks from 2015 and 2006. The updated KEGC, notified on 17 July 2025, introduces new operational rules for integrating solar,…

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Regulatory Updates

CERC sets phased timeline for market coupling rollout starting January 2026
By July 24, 2025July 24, 2025

The Central Electricity Regulatory Commission (CERC) has passed a suo motu order to begin phased implementation of market coupling under the CERC (Power Market) Regulations, 2021. As per the order dated 23 July 2025 (Petition No. 8/SM/2025), the process will start with coupling the Day-Ahead Market (DAM) of power exchanges by January 2026. This decision follows a shadow pilot conducted by Grid Controller of India (Grid-India) between December 2024 and March 2025. The pilot…

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Regulatory Updates

Power sector regulatory highlights – June 23, 2025
By June 23, 2025June 23, 2025

Renewables: DERC revises net metering rules for ToD consumers under Sixth Amendment The Delhi Electricity Regulatory Commission (DERC) has issued the Sixth Amendment Guidelines, 2025, modifying the Group Net Metering and Virtual Net Metering for Renewable Energy Guidelines, 2019. The amendment takes effect immediately upon publication on the DERC website. The key change replaces the term “off peak time block for ToD consumers” with “normal time block for ToD consumers” in Sub-clauses (c) and (e)…

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Regulatory Updates

Regulatory Developments in Power Distribution Sector: June 2, 2025
By June 2, 2025June 2, 2025

APTEL upholds regulatory order on tariff and VCA charge disputes in Chhattisgarh The Appellate Tribunal for Electricity (APTEL) on 15 May 2025 ruled on Appeal No. 286 of 2017, filed by Chhattisgarh State Power Distribution Company Ltd (CSPDCL), challenging a 2017 tariff order issued by the Chhattisgarh State Electricity Regulatory Commission (CSERC). The appeal raised six key issues related to annual revenue requirement (ARR) calculations and billing of Variable Cost Adjustment (VCA) charges. The…

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