The Himachal Pradesh Electricity Regulatory Commission (HPERC) has introduced new draft regulations titled the “Terms and Conditions for Green Energy Open Access and Banking Regulations, 2024,” which will apply throughout Himachal Pradesh. These rules are designed to manage the connection and access to electricity generated from green or renewable sources, including non-fossil waste-to-energy plants, within the state’s transmission and distribution systems.
According to the draft regulations, entities wanting long-term, medium-term, or short-term open access to green energy must first secure connectivity to the intra-state transmission or distribution system. Applicants can request both connectivity and open access simultaneously. If specific provisions are not covered in these regulations, they will follow guidelines from previous HPERC regulations on connectivity, open access, tariff determination, and renewable power purchase obligations.
Entities with existing Power Purchase Agreements (PPAs) with distribution licensees cannot use the green energy open access for the capacity covered by the PPAs or any capacity already granted open access unless specified in their agreement. However, green energy open access is available upon payment of charges determined by the Commission.
Captive generators are entitled to green energy open access if they meet certain conditions, such as having a contracted demand of 100 kW or more. Generators can set up their plants or partner with developers through power purchase agreements. Consumers can opt to buy green energy up to a certain percentage or in full, with separate requisitions for solar and non-solar energy. These requisitions must be for at least one year.
Green energy exceeding the Renewable Purchase Obligation of a distribution licensee can count towards the licensee’s Renewable Purchase Obligation compliance. Existing consumers and generators can continue to use green energy open access according to their agreements or government policies. Any additional green energy capacity requested will be treated as a new application.
For long-term and medium-term green energy open access, the availability of transmission and distribution capacity will be considered. Short-term access may use existing margins and spare capacities. Procedures for granting connectivity and open access, including application formats and charges, will be developed by State Nodal Agencies within 30 days of these regulations’ notification.
Entities seeking green energy open access must first register on the GOAR portal. After registration, they can submit their applications on the central web-based GOAR portal. The State Nodal Agency must approve these applications within 15 days. Applications are processed on a first-come, first-served basis, and consumers must maintain consistent power consumption levels.
Green energy open-access consumers need to have a communication system for data exchange with the State Nodal Agency. Metering must comply with relevant regulations and be capable of real-time data communication.
Dedicated transmission or distribution systems for green energy open access will have their charges determined by the licensees and approved by the Commission. Consumers using these dedicated systems will bear the costs until the capacity is used by others. Cross-subsidy and additional surcharges will apply, with specific exceptions for non-fossil fuel-based waste-to-energy plants and green hydrogen and ammonia production.
If a green energy open-access consumer cannot receive power due to outages, the distribution licensee will provide standby power at reflective costs. Consumers must give advance notice for standby arrangements to avoid charges exceeding 125% of the normal tariff.
Banking facilities for green energy will be allowed monthly. Surplus energy can be banked and drawn within the same cycle, with specific rules for peak and off-peak slots. Unused surplus energy will be considered lapsed, and renewable energy certificates may be issued for it. Applications for green energy open access cannot be denied without providing a hearing opportunity, and disputes will be resolved by the State Nodal Agency or the Commission. The Commission may adjust these regulations as necessary and address any difficulties in their implementation.
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