CERC Proposes Stricter Grid Deviation Rules for Renewable Projects

19 Sep 2025 CW Team

The Central Electricity Regulatory Commission (CERC) has proposed amendments to the deviation settlement mechanism (DSM) for wind, solar, and hybrid projects, effective April 2026, in a move aimed at strengthening grid stability.

The regulator has suggested shifting the DSM calculation from available capacity to scheduled generation. From 2026, deviations will be computed using the formula:

Dws% = 100 x [(Actual Injection – Scheduled Generation) / (X% of Available Capacity + (100-X)% of Scheduled Generation)]

CERC has proposed a phased reduction of the ‘x’ value from 100% in 2026 to 0% by 2031, which would increase deviation charges for renewable energy generators over time.

The DSM tolerance bands will also be narrowed—from ±15% to ±10% for wind projects, and from ±10% to ±5% for solar projects.

A Grid-India study across 16 renewable projects showed the tightening could significantly increase deviation incidents. Solar projects may face 3.5–11.1% revenue losses, hybrid projects 2.4–11.8%, while wind projects could see losses as high as 48.2% due to higher variability.

To mitigate such impacts, CERC suggested better forecasting, aggregation of projects, and operational discipline. Additionally, wind and solar projects will not be compensated for over-injections when grid frequency exceeds 50.05 Hz.

The Commission has invited stakeholder comments on the proposal until October 5, 2025.

News source: Mercom India

Infrastructure Urban

06 Apr 2026

CFI Appoints New National Council for FY27 and FY28

The Construction Federation of India (CFI) has announced its newly elected National Council and office bearers for a two-year term covering FY27 and FY28. M. V. Satish, Advisor to CMD and Lead Ambassador for Middle East, L&T, has been elected President; Priti Patel, Chief Strategy & Growth Officer, Tata Projects, has been appointed Vice President; and Ajit Bhate, Managing Director, Precast India Infrastructures, has taken charge as Treasurer.The newly formed National Council brings together senior leaders from major EPC and infrastructure companies, reflecting CFI’s continued focus o..

India REIT Market Gains Momentum with Strong Returns

India’s Real Estate Investment Trust (REIT) market is witnessing strong growth, emerging as a competitive investment avenue both domestically and across Asia. According to a recent ANAROCK report released at EXCELERATE 2026 by NAREDCO Maharashtra NextGen, the sector is evolving into a mature asset class driven by solid fundamentals, regulatory backing and rising investor confidence.The introduction of Small and Medium REITs (SM REITs) in 2025 has further widened access through fractional ownership, unlocking a potential monetisation opportunity of Rs 670–710 billion. Indian REITs have deli..

G R Infraprojects Secures Rs 4,130 Million BESS Contract From NTPC

G R Infraprojects said it has secured a contract from NTPC to supply and implement a battery energy storage system (BESS) valued at Rs 4,130 million (mn). The company reported the order was awarded as part of NTPC's ongoing efforts to enhance grid flexibility and energy storage capacity. The contract represents a notable addition to the firm's project pipeline and underscores demand for utility scale storage solutions. The award is expected to strengthen G R Infraprojects' presence in the energy infrastructure sector and to contribute to the firm's order book and future revenues, subject to st..