APERC Issues Draft (Green Energy Open Access, Charges, and Banking) Regulation, 2023

Representational image. Credit: Canva

Andhra Pradesh has introduced a new draft regulation aimed at facilitating open access to electricity generated from renewable energy sources within the state. The regulation is set to come into force upon approval by the Andhra Pradesh Electricity Regulatory Commission (APERC) and promises to revolutionize the state’s energy landscape.


The primary objective of this draft regulation is to grant open access to green energy, enabling consumers to harness electricity generated from renewable sources like wind, solar, and mini-hydel power. It applies to both the Intra-State Transmission System (lnSTS) and distribution systems of licensed entities in Andhra Pradesh. Additionally, it covers systems incidental to the interstate transmission of electricity, ensuring a comprehensive approach to green energy access.


One of the crucial aspects of this regulation is its ability to supersede all previous regulations, stipulations, guidelines, and directions issued by the Commission regarding open access to green energy. This move ensures a unified and streamlined approach to accessing renewable energy within the state.


The regulation places specific eligibility criteria on entities seeking open access to green energy. Notably, entities that are insolvent, bankrupt, have outstanding dues of more than two months with distribution/transmission licensees or have pending cases related to unauthorized use or theft of electricity at the time of application will not be eligible for open access.

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To oversee the implementation of this regulation, the Andhra Pradesh State Load Despatch Centre (APSLDC) will serve as the State Nodal Agency (SNA) for short-term green energy open access, while the State Transmission Utility (STU) will handle long-term and medium-term green energy open access. All applications related to green energy open access must be submitted directly to the respective State Nodal Agencies or through a centralized portal set up by the Central Nodal Agency in compliance with Green Energy Open Access Rules.

The regulation emphasizes transparency and coordination among utilities by requiring SNAs to make relevant information about green energy open access available to the public through the Central Nodal Agency’s portal.

For new green energy generators, connectivity will be granted following the provisions of APERC Regulation on Power Evacuation from Captive Generation Co-generation and RE Source Power Plants. Energy settlements for intra-state green energy open access transactions will be governed by Regulation 2 of 2006 and its amendments, while interstate transactions will follow CERC Regulations. Deviations from the schedules of wind and solar generators will be settled under CERC DSM Regulations, 2022 until the Commission issues comprehensive regulations in this regard.

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Existing consumers/generators will continue to avail open access as per their existing agreements or government policies, provided they align with the Act.

The regulation also addresses various financial aspects, including transmission charges, wheeling charges, cross-subsidy surcharges, banking charges, SLDC fees, and scheduling and deviation settlement charges. It outlines a structured fee system for different durations of green energy open access.

Moreover, the regulation places restrictions on the banking of energy, limiting it to wind, solar, and mini-hydel power generators. Banking is allowed on a monthly billing cycle basis, with charges applied for unutilized banked energy. The regulation also caps the quantum of banked energy at thirty percent of the total monthly consumption from distribution licensees.

The regulation acknowledges peak load hours and charges for drawing banked energy during those times, with exceptions for circumstances involving R&C measures. To maintain transparency, SLDC will maintain energy accounts for all banking transactions and provide model illustrations on its website.

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Also, distribution licensees are mandated to issue green certificates annually to consumers following APERC Renewable Power Purchase Obligation regulations.

Please read the document below for more details.

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