GERC Asked To Grant Extension For 70 MW Hybrid Project Amid Delays And Regulatory Uncertainty

FSGE Renewable Private Limited has filed a petition before the Gujarat Electricity Regulatory Commission seeking an extension of time to commission the evacuation infrastructure for a 70 MW wind-solar hybrid power project located at Kagvadar village in Amreli district, Gujarat. The company argued that unforeseen and uncontrollable events have led to delays, and therefore, it has requested a 120-day extension to complete the project.

The petitioner stated that although it had initiated construction on time, several factors caused delays. These include a lack of clarity in banking regulations, supply chain issues that delayed the delivery of circuit breakers, right-of-way disputes with villagers, and pending approvals from the Forest Department for transmission line work through forest buffer zones. The delay in the delivery of essential equipment, such as circuit breakers, was attributed to a global surge in demand. Additionally, farmers and landowners in the area protested and obstructed construction activities, further delaying the project.

The petitioner emphasized that it had secured all necessary permissions under Sections 68 and 164 of the Electricity Act, 2003, and had made significant progress on the project. Around 95% of the 66 kV transmission line work and 98% of substation work had been completed. However, the pending issues, such as unresolved ROW disputes and forest clearance, still hinder full completion.

GETCO, the state transmission utility, had earlier issued a letter on 18 February 2025, reminding the petitioner that the entire evacuation infrastructure had to be completed within 12 months from the grant of Stage II connectivity on 12 March 2024, failing which the connectivity would be revoked and bank guarantees encashed.

The petitioner submitted that it is willing to pay long-term transmission charges until 10% of the project is commissioned and requested the Commission to direct GETCO not to revoke connectivity or encash the bank guarantees. It further noted that regulatory uncertainty from February to August 2024 around banking provisions caused confusion and halted project progress. Clarification was only issued on 31 August 2024, which helped to resolve the issue.

In its reply, GETCO opposed the extension, stating that the petitioner was aware of the timelines and requirements and should have acted on time. GETCO argued that delays in material procurement or due to local protests are not sufficient grounds for an extension and that the petitioner had not approached the Commission earlier despite being aware of potential delays.

The petitioner argued that the delays qualify as force majeure events and cited relevant Supreme Court and Tribunal judgments to support its case. It emphasized that even after continuous efforts, the delays were beyond its control, and requested that the Commission consider these circumstances and grant a 90-day extension from the date of the order by the District Collector or from the Commission’s order, whichever is applicable.

The case remains under review by the Commission, with the petitioner awaiting a decision on its request for time extension and interim relief.