KSERC Approves 2 MW Open Access Solar Power Amid Regulatory Hurdles In Kerala

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rows of solar modules in photovoltaic power station
Representational image. Credit: Canva

M/s India Gateway Terminal Private Limited (IGTPL), a part of DP World Limited, had approached the Kerala State Electricity Regulatory Commission with a request to support its renewable energy plans. IGTPL operates the International Container Transshipment Terminal (ICTT) at Cochin Port Authority (CoPA) in Vallarpadam SEZ. The company aims to meet 30% of its power needs through renewable energy by 2026, in line with the โ€œHarit Sagar Green Port Guidelines 2023โ€ issued by the Ministry of Ports, Shipping, and Waterways. These guidelines target more than 60% renewable energy usage at ports by 2030.

Currently, IGTPL has set up an 830kWp ground-mounted and a 170kWp rooftop solar plant at Vallarpadam, which together meet 12% of its electricity demand. To increase this share, IGTPL is collaborating with INKEL Limited to build a 5 MW captive solar plant in Malappuram District. Since this solar plant will be located in the distribution area of Kerala State Electricity Board Limited (KSEBL) and the power will be consumed in CoPAโ€™s area, the project requires open access and banking arrangements.

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A key issue raised in the hearings was that IGTPLโ€™s power demand changes depending on the portโ€™s vessel and container activity. On days when no vessel operations take place, energy consumption drops, making banking of extra solar power essential. CoPA has issued a conditional ‘No Objection Certificate’ for green power procurement through open access, but this is dependent on approvals from KSEBL and KSERC for grid connectivity and power banking.

KSEBL raised objections regarding inter-licensee banking, stating that it is not allowed under current Renewable Energy Regulations. KSEBL also questioned whether the INKEL solar plant could be considered a true captive power plant for IGTPL. Instead, KSEBL suggested alternatives like installing battery storage, reducing solar capacity to match current demand, adjusting power usage timings, or settling excess solar energy at the lowest national tariff. KSEBL also reminded that IGTPL could directly buy green energy from them at an approved green tariff.

In response, IGTPL clarified that they are not asking for changes to existing laws but are only requesting help in applying them in a system where multiple licensees are involved. They said that the absence of a proper method for accounting power between two licensees is creating problems. They also argued that the immediate use of battery storage is costly and that limiting solar capacity based on todayโ€™s demand would ignore the companyโ€™s future growth.

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After considering all arguments, the Commission allowed IGTPL to get open access for up to 2 MWp from the planned Malappuram solar plant under captive rules. Both KSEBL and CoPA are directed to allow this under existing laws. Energy adjustments must follow the annexure provided in the order until the new KSERC (Renewable Energy & Related Matters) Regulations, 2025, come into effect. The Commission also reminded that IGTPL must meet all rules under the Electricity Act, 2003, to get the benefits of banking and other provisions. The upcoming 2025 regulations are expected to make inter-licensee energy sharing more structured and fair for all consumers.


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