Legal Dispute Over Applicability Of New Green Energy Open Access Regulations To Existing Agreements: HERC

The petition has been filed by M/s. Goodrich Carbohydrates Limited under Section 181 of the Electricity Act, 2003, in conjunction with Regulations 10, 13, and 14 of the Haryana Electricity Regulatory Commission (HERC) (Green Energy Open Access) Regulations, 2023, and Regulations 65 to 67 of the HERC (Conduct of Business) Regulations, 2019. The petitioner seeks directions regarding the applicability of the Green Energy Open Access Regulations, 2023, to existing Long-Term Open Access (LTOA) agreements executed before May 2, 2023. This issue arises especially in light of the Hon’ble Commission’s order dated November 10, 2023, in Petition No. 49 of 2023.

The petitioner contends that their existing LTOA agreements should not be subject to the new eligibility criteria imposed by the Green Energy Open Access Regulations, 2023, since these regulations came into effect after their agreements were executed. They argue that applying these new rules retrospectively to existing agreements is unfair and causes undue hardship. The petitioner points out that there was no clear communication from the respondent authorities about the new regulations’ applicability to existing agreements until the order dated November 10, 2023.

The petitioner has also raised concerns about their energy accounts not being adjusted for several months in 2023 due to uncertainties and pending clarifications regarding the implementation of the new regulations. They assert that they continued to comply with the previously established regulations and that the lack of adjustments has led to significant financial implications.

The respondents, on the other hand, argue that the new regulations apply to all existing agreements, citing specific provisions and clarifications that were issued. They maintain that the new requirements are applicable retrospectively and that the petitioner should have adjusted to the new scheduling and eligibility conditions as per the Green Energy Open Access Regulations, 2023.

The Commission has to decide on several key issues, including whether the new regulations should apply to existing agreements executed before May 2, 2023, and whether the actions taken by the respondents complied with the regulatory framework. The outcome will determine the regulatory environment for green energy open-access consumers in Haryana and clarify the scope of the new regulations’ applicability.