On March 26, 2025, the Karnataka Electricity Regulatory Commission (KERC) released the Karnataka Electricity Regulatory Commission (Terms and Conditions for Open Access) Regulations, 2025, marking a significant update in the state’s open access framework. These regulations govern the terms and conditions under which consumers, including businesses and industries, can access the state’s electricity transmission and distribution systems. The revised regulations will impact a wide range of open access (OA) customers, including those participating in Green Energy Open Access (GEOA).
Key Highlights of the New Regulations:
The regulations will apply to all open access customers, including those involved in GEOA, who have submitted applications for Short Term Open Access (STOA), Medium Term Open Access (MTOA), or Long-Term Open Access (LTOA). Specifically, applications filed from January 13, 2023, for STOA and from January 2, 2023, for MTOA and LTOA will be covered under these new rules.
A. Categorization of Open Access Customers:
Open access customers will now be categorized based on the duration for which they will utilize the intra-state transmission or distribution system:
Long-term OA customers: Those seeking open access for 5 years or more.
Medium-term OA customers: Those applying for access for a duration between 1 and 5 years.
Short-term OA customers: Customers seeking open access for 1 year or less.
Eligibility for Re-application for Short-Term OA Customers: Short-term customers are eligible to reapply after the expiry of their term, subject to availability. Priority will be determined by the submission date of their application to the nodal agency.
B. Eligibility Criteria:
- Open access is subject to system availability, and customers will be eligible to access the intra-state transmission systems and distribution systems of Karnataka’s transmission and distribution licensees.
- Power Purchase Agreement (PPA) Holders: Any generating company with a subsisting PPA with a distribution licensee will not be eligible for open access for the capacity covered under the PPA, unless explicitly stated in the agreement.
- Captive Generating Plants: Consumers with captive generating plants have the right to open access as per Section 9 of the Electricity Act, 2003. Other consumers also have open access rights, as defined in the regulations.
C. Charges and Fees:
Open access customers will be required to pay the relevant charges, which will be determined by the KERC from time to time. This ensures that the cost of using the state’s transmission and distribution infrastructure is transparent and based on regulatory guidelines.
D. Repeal and Saving:
- The Karnataka Electricity Regulatory Commission (Terms and Conditions for Open Access) Regulations, 2004, along with its amendments, will be repealed upon the commencement of the 2025 regulations.
- However, any actions or procedures undertaken under the repealed regulations, including reports, declarations, and instruments, will be treated as if they were done under the new regulations, ensuring a seamless transition.
Effective Date : The Regulations will come into effect from March 26th 2025 .
