The Punjab State Electricity Regulatory Commission (PSERC) has amended its intra-state open access regulations according to the center’s Green Energy Open Access Rules to encourage open access installations in the state.

The amendments, Punjab State Electricity Regulatory Commission (Terms and Conditions for Intra-State Open Access) (10th Amendment) Regulations, 2023, have been implemented effective immediately.

The aim is to promote adopting green energy open access, streamline the application procedure, and modify various aspects such as cross-subsidy surcharges, standby charges, scheduling, and imbalance charges.

Eligibility for Green Energy Open Access

Under the amended regulations, consumers with an aggregate sanctioned contract demand of 100 kVA and above can now procure power through green energy open access.

This aligns with the Ministry of Power amendment, which enabled consumers with single or multiple connections that add up to 100 kW or more within the same electricity division to avail of green energy open access.

No load/demand limit will be imposed on captive users who choose green energy open access.

Application Procedure

To streamline the application process, the amendments introduce a centralized registry for all green energy open access applications set up by the Central Nodal Agency.

The State nodal agency will approve these applications within 15 days, provided all technical requirements are met. Furthermore, the Commission will aim to resolve any appeals within three months, ensuring a timely and efficient process.

Cross Subsidy Surcharge

The amended regulations bring about several changes regarding cross-subsidy surcharges. Notably, green energy open access consumers will see a restriction on the increase in cross-subsidy surcharge, which will not exceed 50% of the surcharge set for the year when open access is granted.

Furthermore, the cross-subsidy surcharge will not apply to power generated from non-fossil fuel-based waste-to-energy plants.

The surcharge will also not be imposed if green energy is utilized to produce green hydrogen and ammonia.

Additional Surcharge

The amendments clarify that additional surcharges will not apply to green energy open access consumers already paying fixed charges. Moreover, these additional surcharges will not be imposed if power is supplied from non-fossil fuel-based waste-to-energy plants or offshore wind projects commissioned before December 2025.

Similarly, if green energy is used to produce green hydrogen and green ammonia, the additional surcharge will not apply. However, consumers opting for open access beyond their sanctioned contract demand will be liable to pay additional surcharges as determined by the Commission.

Standby Charges

The amendments introduce provisions for green energy open access consumers to avail of standby power beyond a specified period by paying commitment charges.

The Commission will determine the exact amount of commitment charges which will vary based on the duration of the standby power.

The agreement for standby power between the open access customer and the distribution licensee will require the payment of commitment charges based on the contracted standby demand.

Scheduling

The amendments clarify the quantum of electricity drawal by open access consumers, excluding green energy open access consumers.

The maximum admissible drawal from the distribution licensee during any given time block will now be based on the difference between the sanctioned contract demand and the scheduled entitlement.

Any variation in the admissible drawal due to curtailment under force majeure conditions may incur additional charges.

Imbalance Charges

The new regulations also introduce the concept of imbalance charges, which will apply when open access consumers overdraw power beyond the admissible drawal, possibly due to curtailment in approved schedules.

The Commission will determine the specific provisions for levying these charges.

In May, the Ministry of Power instructed state electricity regulatory commissions to comply with the Electricity (Promoting Renewable Energy Through Green Energy Open Access) Rules and align their states’ Open Access Regulations with the notified rules.

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