The Central Electricity Regulatory Commission (CERC) has granted a Category ‘V’ inter-state trading licence to Renesys Solar Private Limited, a company registered under the Companies Act, 2013. The licence allows Renesys Solar to trade in electricity across India, expanding its business operations.
The application process for the trading licence involved a series of regulatory requirements, including net worth, current ratio, and liquidity ratio, which Renesys Solar successfully met as per its Special Balance Sheet as on January 31, 2023. In addition, the company was required to have at least one full-time professional with qualifications and experience in power system operation and commercial aspects of power transfer, finance, commerce, and accounts.
The CERC, satisfied with the materials on record and the qualifications of Renesys Solar, issued a Category ‘V’ licence for inter-state trading in electricity in whole of India. The grant of the trading licence is subject to the fulfilment of several conditions throughout the period of subsistence of the licence, including compliance with the provisions of the Electricity Act, 2003, the Rules and the Regulations, as well as any orders and directions issued by the Commission from time to time.
Renesys Solar is also required to charge trading margins strictly in accordance with Trading Licence Regulations and pay annual licence fees in accordance with the provisions of the Central Electricity Regulatory Commission (Payment of Fees) Regulations, 2012. The licence may be revoked in case of non-compliance or if the licensee fails to undertake trading in electricity within one year from the date of the licence.
The granting of the Category ‘V’ inter-state trading licence to Renesys Solar is expected to boost the company’s business operations, contribute to the growth of the renewable energy sector in India, and support the country’s transition to cleaner and sustainable energy sources.