India cancels grid access for 17GW of delayed clean energy projects

India has revoked transmission access for around 17 gigawatts (GW) of renewable energy projects that have experienced delays, according to Reuters. The decision aims to prioritise grid connections for projects that are operational or close to completion.

The Central Transmission Utility of India (CTUIL), a state-run entity, issued notices to several developers, including Adani Green Energy, ReNew Power, NTPC, Avaada Group, JSW Energy, and ACME Solar. Affected projects are located in states with significant renewable resources, such as Rajasthan, Gujarat, and Madhya Pradesh. 

Grid access cancellations occurred in the June quarter after prior warnings. Appeals against the revocations are underway with the Central Electricity Regulatory Commission (CERC).

The country targets 500GW of nonfossil fuel power capacity by 2030. However, its transmission system, which spans roughly 495,000 circuit kilometres, has not kept pace with the growth in generation capacity.

CTUIL conducted manual inspections before revoking access and intends to continue allocating transmission lines to projects progressing on schedule.

JSW Energy contested the revocation, but the regulator declined interim relief in an order dated 24 June. On 10 July, CERC asked CTUIL to submit a response to the appeal, with a hearing set for 7 October.

India has also tightened rules to restrict the trading of grid access rights. Developers cannot change the generation source after securing connectivity and must retain control until project commissioning. Violations could lead to forfeiture of bank guarantees and loss of connectivity.