Waiver of Inter-State Transmission Charges on transmission of electricity generated from Solar and Wind Energy


The Ministry of New and Renewable Energy (MNRE) has announced an extension for the commissioning of solar and wind energy projects, granting them a waiver of inter-state transmission charges. This Order dated 9th June, 2023 was issued on 21st June, 2023.

This extension comes after careful consideration by the ministry and takes into account certain circumstances such as force majeure events or delays caused by transmission providers or government agencies.

According to the present Order, renewable energy projects falling under para 3.1 (i), (ii), and (iii) of the Order dated 23th November, 2021 and in accordance with the Order dated 30th November, 2021 are eligible for the waiver of inter-state transmission charges. These projects, with their scheduled date of commissioning on or before 30th June, 2025, can now benefit from an extension of time granted by the MNRE.

The extension is provided in cases where there are delays in commissioning due to force majeure events or the transmission provider’s failure to provide the required transmission infrastructure despite taking timely steps. Additionally, delays caused by any government agency will also be considered. If the power plant is commissioned before the extended date, it will receive the benefit of the waiver of inter-state transmission charges as if it had been commissioned on or before 30th June, 2025.

Furthermore, the extension of the Date of Commissioning (CoD) for a project will also result in the extension of the Long-Term Access (LTA) period accordingly. This means that the period of waiver for inter-state transmission charges will be deemed to be extended by the same duration as the extension granted by the competent authority for the CoD.

It is important to note that such extensions in the Date of Commissioning (CoD) will be granted for a period of six months at a time, and not more than two times. This provision ensures that the projects can be completed within a reasonable timeframe while maintaining the integrity and effectiveness of the waiver of inter-state transmission charges.

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