GERC Fixes Green Energy Banking Charge At ₹1.50 Per Unit In Gujarat Until March 2026 In Gujarat

The Gujarat Electricity Regulatory Commission (GERC) has introduced an important amendment to the rules for green energy use in the state. The changes, published in the Gujarat Government Gazette on September 25, 2025, come under the title Gujarat Electricity Regulatory Commission (Terms & Conditions for Green Energy Open Access) (Third Amendment) Regulations, 2025, and take effect immediately.

The amendment is aimed at consumers and producers using Green Energy Open Access. This framework allows renewable energy producers, such as solar and wind power generators, to sell electricity directly to customers across the grid. The main focus of the amendment is the “Banking Charge,” which is a fee applied when surplus electricity is stored in the grid for future use.

Under the updated Regulation 17.6, the Banking Charge has been fixed at ₹1.50 per unit. This rate is applicable from the date of notification and will remain in effect until March 31, 2026. The Commission may revise the charge earlier if needed, through a separate regulation. The update provides clear guidelines for both producers and consumers on the cost of storing surplus green energy, helping in better planning and budgeting.

GERC has issued this amendment using powers granted under several sections of the Electricity Act, 2003, including Sections 39, 40, 42, 61, and 86. It modifies the previous Gujarat Electricity Regulatory Commission (Terms and Conditions for Green Energy Open Access) Regulations, 2024. The amendment ensures that the banking facility terms and conditions are well defined and predictable for the short to medium term.

The new regulation applies uniformly across the entire state of Gujarat, offering a standardized charge for all power transactions under Green Energy Open Access. By setting this rate, the Commission aims to balance the costs associated with maintaining grid stability while encouraging continued growth and use of renewable energy sources.

The sunset clause of March 31, 2026, indicates that the Commission will review the Banking Charge before the next financial year. This review will take into account market trends and policy objectives to determine if adjustments are needed. The amendment reflects GERC’s commitment to promoting green energy, supporting both producers and consumers, and providing a transparent framework for energy banking in the state.

With this update, stakeholders in Gujarat’s green energy sector now have clarity on the cost structure for banking surplus renewable electricity. This clarity is expected to encourage more investment in renewable energy projects and facilitate smoother power transactions under the Green Energy Open Access scheme.

The amendment reinforces Gujarat’s position as a state advancing in the renewable energy sector while ensuring a balanced approach between cost recovery and sustainable growth.