Gujarat Regulator Notifies Renewable Energy Procurement Rules until 2030

28 Aug 2025 CW Team

Applicability

RPO compliance will apply to distribution licensees, open access consumers, and captive projects above 100 kW using conventional sources. Captive plants set up for standby power are also covered. Retail consumers are exempt, except those designated under the Energy Conservation Act, 2001.

Targets and Flexibility

The rules specify year-wise RPOs across wind, hydro, distributed renewable energy, and other renewable sources. Wind and hydro quotas must be met from projects commissioned after March 31, 2024. Surpluses in one category can be adjusted against shortfalls in another within prescribed limits.

Storage Obligation

For the first time, a storage obligation has been introduced. Obligated entities must procure part of their total consumption through storage systems, with at least 85 per cent of the charging sourced from renewable energy.

Compliance Mechanism

RPOs can be met via direct procurement, exchanges, government allocations, self-generation, or banking arrangements. Rooftop solar under net/group metering and renewable energy used for green hydrogen or ammonia production will count toward compliance. Obligated entities must register with the state agency within three months and submit quarterly and annual reports through a dedicated portal.

Monitoring and Enforcement

The Gujarat Energy Development Agency (GEDA) will oversee compliance, reporting, and monitoring, with provisions for third-party audits. Entities must also publish quarterly compliance status on their websites.

Penalties

Non-compliance will attract penalties of Rs 3.72 per kWh of shortfall, with funds directed toward REC purchases or renewable transmission infrastructure. False reporting or non-submission of data may also invite penal action.

News source: Mercom India

The Gujarat Electricity Regulatory Commission (GERC) has issued the Procurement of Energy from Renewable Sources Regulations, 2025, setting renewable purchase obligations (RPOs) for distribution licensees, open access consumers, and captive users through FY 2029-30.ApplicabilityRPO compliance will apply to distribution licensees, open access consumers, and captive projects above 100 kW using conventional sources. Captive plants set up for standby power are also covered. Retail consumers are exempt, except those designated under the Energy Conservation Act, 2001.Targets and FlexibilityThe rules specify year-wise RPOs across wind, hydro, distributed renewable energy, and other renewable sources. Wind and hydro quotas must be met from projects commissioned after March 31, 2024. Surpluses in one category can be adjusted against shortfalls in another within prescribed limits.Storage ObligationFor the first time, a storage obligation has been introduced. Obligated entities must procure part of their total consumption through storage systems, with at least 85 per cent of the charging sourced from renewable energy.Compliance MechanismRPOs can be met via direct procurement, exchanges, government allocations, self-generation, or banking arrangements. Rooftop solar under net/group metering and renewable energy used for green hydrogen or ammonia production will count toward compliance. Obligated entities must register with the state agency within three months and submit quarterly and annual reports through a dedicated portal.Monitoring and EnforcementThe Gujarat Energy Development Agency (GEDA) will oversee compliance, reporting, and monitoring, with provisions for third-party audits. Entities must also publish quarterly compliance status on their websites.PenaltiesNon-compliance will attract penalties of Rs 3.72 per kWh of shortfall, with funds directed toward REC purchases or renewable transmission infrastructure. False reporting or non-submission of data may also invite penal action.News source: Mercom India

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