CERC issues show cause notices to 129 inter-State TSPs

The Central Electricity Regulatory Commission (CERC), in a suo motu proceeding, has issued a show cause notice to 129 Inter-State Transmission Service Providers for failing to comply with mandatory performance reporting requirements under the CERC (Standards of Performance of Inter-State Transmission licensees) Regulations, 2012. The Commission, comprising Chairperson Jishnu Barua and Members Ramesh Babu V., Harish Dudani, and Ravinder Singh Dhillon, recorded systemic non-compliance and directed entities to explain why action under Section 142 of the Electricity Act, 2003 should not follow.

The SOP Regulations require Inter-State transmission licensees to submit annual performance reports by 30 April each year, covering achieved performance levels, compensation cases, and the total compensation paid. Licensees also need to publish this data monthly on their websites. Despite a compliance circular issued on 08 May 2025, CERC found submissions to be severely lacking.

In its order dated 25 December 2025, CERC noted that out of 162 identified TSPs, 25 had not yet achieved commercial operation. From the remaining 137 operational entities, only 30 submitted data, and even this covered only April 2022 to March 2024. No entity submitted data for April 2024 to March 2025, and 107 licensees did not submit any information. The Commission stated that almost all Inter-State transmission licensees failed to comply and recorded its displeasure over the non-reporting.

CERC has issued a show cause notice to Respondents 1 to 129, directing them to explain their non-compliance. They have been instructed to submit pending performance data for financial years 2021-22 to 2024-25, along with submission dates and reasons for any failure to file reports.

The Respondents have 15 days from the date of the order to file replies. The matter has been listed for hearing on 06 February 2026. An annexure to the order categorises 162 entities into four groups: those who submitted partial data, those who submitted none, those that achieved commercial operation after the relevant period, and those yet to achieve commercial operation.

The featured photograph is for representation only.