UPERC Reviews Petition For Approval Of 150 MW Solar Ppas And Timeline Clarity Under PM-KUSUM Scheme

On April 8, 2025, the Uttar Pradesh Electricity Regulatory Commission held a hearing to review a petition asking for approval of Power Purchase Agreements (PPAs) and Supplementary PPAs. These agreements were signed between project developers and Uttar Pradesh Power Corporation Ltd. The petition also asked the Commission to approve the tariffs that were discovered through a selection process for buying power from solar plants. These solar plants will be connected to selected agricultural feeders as part of the feeder-level solarization under the PM-KUSUM Component C2 Scheme and will have a total capacity of 150 MW.

The petition was filed by U.P. New & Renewable Energy Development Agency and UPPCL. The respondents in this case include private companies and individuals involved in solar energy projects. During the hearing, one of the main topics discussed was the extension of the Scheduled Commissioning Date. The advocate for the respondents mentioned a judgment from the Appellate Tribunal for Electricity, but the Commission clarified that the judgment related to compensation for policy changes and did not apply to the request for SCD extensions.

The respondents asked the Commission to confirm whether the SCD should be calculated from the date of the Letter of Award or the date when the PPA was signed. The Commission replied that the date of signing the PPA would be considered for calculating the SCD timeline. The advocate for the respondents said they believed UPNEDA would allow a six-month extension, so they did not object to the 12-month timeline mentioned in the PPA at the time of signing. The respondents said they were eager to start the projects and that a time extension would help them get financial closure and release of loans. They also informed the Commission that some of them had already acquired the required land, while others were close to completing the process.

When the Commission asked about the current status of the projects, UPNEDA said some developers had already secured financing, while others were planning to fund the projects on their own. All parties asked the Commission for a week to try and come to a mutual agreement about the six-month extension. They agreed to file affidavits showing the results of their discussions. The Commission accepted this request and asked UPNEDA to submit a Bid Conformity Certificate. The next hearing has been scheduled for April 17, 2025.