GERC Releases Discussion Paper on Tariff Framework for Wind-Solar and Hybrid Power Projects in Gujarat

Representational image. Credit: Canva

The Gujarat Electricity Regulatory Commission (GERC) has released a Discussion Paper titled “Tariff Framework for Procurement of Power by Distribution Licensees and Others from Wind-Solar and Storage if any, Hybrid Power Projects for the State of Gujarat.” This paper has been prepared by the Commission under the authority granted by Section 181 of the Electricity Act, 2003.


The GERC has made the Discussion Paper available on its website and is inviting suggestions and objections from stakeholders until July 3, 2023. Interested parties can submit their feedback, along with supporting documents if any, in five sets duly supported by an affidavit. The submissions should be sent to the Secretary of the Gujarat Electricity Regulatory Commission at their office in Gandhinagar.

A public hearing to address the objections and suggestions raised by stakeholders will take place on July 10, 2023, at 11:30 a.m. The hearing will be conducted at the Commission’s Office. The GERC aims to gather valuable inputs from stakeholders and ensure transparency in the tariff framework for power procurement from wind-solar and hybrid power projects in Gujarat.

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As per the new draft norms, existing hybrid projects will have their tariff determined based on the power purchase agreements (PPAs) in place. However, for additional capacities, the tariff will be calculated as the weighted average tariff available on April 1, derived from competitive bidding conducted by GUVNL (Gujarat Urja Vikas Nigam Limited) during the previous six months (October to March).

For new hybrid projects, the tariff will be based on the weighted average tariff from the last six months. If the weighted average tariff is not available for a specific six-month period, the latest available weighted average tariff for a similar duration will be considered.

The draft norms also require distribution companies (discoms) to publish the applicable tariff on their websites, which will be updated every six months. Power procurement from these projects should contribute towards meeting the solar Renewable Purchase Obligation (RPO) and non-solar RPO, based on the capacity of solar and wind power in the plant, respectively.

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The choice of capacity mix between solar, wind, and storage will be at the discretion of the developers, taking into account the site’s potential. Transmission charges will be applicable based on the sanctioned/allocated transmission capacity, while transmission losses will be calculated on an energy feed-basis, similar to other wind or solar projects.

View the official Discussion Paper here:

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