The Gujarat Electricity Regulatory Commission (GERC) has allowed petitions filed by Gujarat Energy Transmission Corporation (GETCO) seeking amendments to the state’s wind, solar, and wind–solar hybrid tariff orders, 2024, granting significant relief to renewable energy developers by restoring longer timelines for evacuation infrastructure and commissioning.

In three separate but similar orders, the Commission amended the tariff orders of 2024 to reinstate evacuation timelines of 1.5 to 3.5 years, depending on project capacity, reversing the 12–18-month timelines introduced in August 2024.

However, the Commission ruled that no retrospective relief will be granted. Connectivity cancellations, bank guarantee encashments, and other enforcement actions already taken will remain. The amended provisions will apply only to projects that are under implementation and yet to be commissioned.

Background

GETCO approached the Commission, arguing that the Tariff Orders, 2024, significantly reduced evacuation timelines compared to earlier frameworks—cutting them from 18–42 months under the 2020–21 orders to as low as 12 months for projects up to 100 MW.

According to GETCO, this compression led to widespread non-compliance, with developers facing delays due to right-of-way and land acquisition issues, supply chain constraints for transformers, turbines, and modules, and statutory approvals and weather-related disruptions.

GETCO also flagged a major ambiguity in the 2024 tariff orders. Since commissioning timelines were tied to evacuation timelines through the phrase ‘whichever is earlier,’ developers—especially smaller projects—were effectively denied the one-year window after charging for evacuation infrastructure to complete commissioning.

Several developers and industry bodies, including FPL Mercury, Vena Energy, Cleanmax, and Continuum Green Energy, supported GETCO’s petition.

Commission’s Analysis

The Commission acknowledged that the sharp reduction in timelines under the 2024 tariff orders caused genuine, sector-wide implementation difficulties across wind, solar, and hybrid projects. It noted that strict enforcement could lead to idling of transmission infrastructure and disruption of renewable capacity addition, contrary to state policy objectives.

Accordingly, GERC restored the evacuation timelines for all three technologies to:

• Up to 100 MW: 1.5 years
• 101–200 MW: 2 years
• 201–400 MW: 2.5 years
• above 400 MW: 3.5 years

It also stated that the commissioning timelines should be delinked from evacuation timelines by deleting the ‘whichever is earlier’ clause.

The Commission allowed commissioning of 10% capacity within one month of charging the evacuation facilities, and the remaining 90% within one year of charging.

The state regulator added that the revised framework should apply only to ongoing, uncommissioned projects, while leaving past cancellations and bank guarantee encashments undisturbed.

The Commission refused to introduce a graded extension mechanism with per-day charges, as sought by GETCO, but allowed developers to seek extensions on an individual basis under existing regulatory provisions.

GERC disposed of all three petitions, stating that the amendments strike a balance between regulatory discipline and facilitation of renewable energy development in Gujarat.

In September last year, GERC granted a 361-day extension to a wind energy developer to complete the power evacuation infrastructure for its 70 MW wind-solar hybrid power project. It also exempted the company from financial liabilities, including the obligation to encash the bank guarantee.

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