APERC Issues Revised Draft Second Amendment To Open Access Regulation 2005 Supporting Clean Energy Goals In Andhra Pradesh

The Andhra Pradesh Electricity Regulatory Commission has released the revised draft of the Second Amendment to the Andhra Pradesh Electricity Regulatory Commission (Terms and Conditions of Open Access) Regulation, 2005. The original regulation was first notified in July 2005 and was later adopted by the newly constituted Commission for the residual state of Andhra Pradesh after bifurcation in 2014. A first amendment followed in January 2016. The current revision is being made in line with the state’s Integrated Clean Energy Policy, 2024, which aims to position Andhra Pradesh as a leader in clean energy and targets 50% cumulative electric power capacity from non-fossil fuel sources by 2030, along with achieving net-zero emissions by 2047.

To implement the objectives of this policy, the Government of Andhra Pradesh, through the Energy Department, invoked Section 108 of the Electricity Act, 2003, and requested the Commission to incorporate amendments related to grid connectivity for clean energy projects. The government specifically referred to GO.Ms.No.37 dated October 30, 2024, which outlines conditions for such projects, including the requirement that grid connectivity would be based on the progress and recommendation of the State Nodal Agency.

The Commission examined the proposal along with other relevant provisions under the Electricity Act, 2003, which emphasize environmentally friendly and efficient energy practices. Exercising its powers under various sections of the Act, the Commission issued a draft amendment earlier in March 2025 and published it on its website on March 26, 2025, inviting comments, suggestions, and objections from stakeholders and the public. Several responses were received, not only on the proposed amendments but also on other provisions of the original regulation. After reviewing these submissions, the Commission prepared a revised draft of the Second Amendment.

The revised draft specifies that the grant of grid connectivity for clean energy projects shall follow the conditions set out in GO.Ms.No.37 and shall depend on the recommendations of the State Nodal Agency. It also introduces a change to Clause 19.4 of the Principal Regulation, focusing on energy and demand balancing. The amendment states that the open access capacity at the generator end must match, but not exceed, the open access capacity approved at the consumer’s exit point. For open access consumers, the drawal will be restricted to the sanctioned capacity, as governed by approved metering equipment. For scheduled consumers, long-term access may be within or beyond the contracted maximum demand, with conditions on metering infrastructure upgrades if required. For generators, open access shall be limited to the lesser of the ex-bus capacity, line evacuation capacity, or interconnection transfer capacity, as determined by the concerned licensee, with strict adherence to sanctioned limits.

The revised draft amendment extends to the entire state of Andhra Pradesh and will come into force upon its publication in the state Gazette. The Commission Secretary issued the order on August 19, 2025, from Kurnool. This amendment is considered a crucial step in aligning regulatory provisions with the state’s clean energy ambitions, while also ensuring grid discipline, balanced energy flow, and compliance with technical feasibility. It highlights the growing focus on both sustainability and operational efficiency as Andhra Pradesh advances its clean energy transition.