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UPEX 2026

UPERC Invites Public Feedback On Draft Regulations For Captive And Renewable Energy Projects In Uttar Pradesh

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Representational image. Credit: Canva

The Uttar Pradesh Electricity Regulatory Commission (UPERC) has released a public notice announcing its Draft Regulations for Captive and Renewable Energy Generating Plants. This notice marks an important step toward shaping the stateโ€™s power generation policies for the next five years. The proposed regulations, titled โ€œDraft Uttar Pradesh Electricity Regulatory Commission (Captive and Renewable Energy Generating Plants) Regulations, 2024,โ€ will apply to the control period from April 1, 2024, to March 31, 2029. The Commission has called for comments and suggestions from all stakeholders and members of the public who are directly or indirectly affected by these regulations.

According to the notice, UPERC has scheduled a public hearing on June 3, 2025, at 11:00 AM at its Lucknow office. This hearing gives participants an opportunity to present their views and concerns about the draft rules. Before the hearing, interested individuals and organizations must submit their written comments, objections, and suggestions by May 30, 2025. Submissions are to be made in both physical and electronic formats. Hard copies should be addressed to the Secretary of the Commission, while soft copies can be sent via email to the official UPERC addresses provided in the notice.

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The draft regulations have been prepared under the powers granted to the Commission by the Electricity Act. They aim to provide a structured and transparent framework for the operation of Captive Power Plants (CPPs) and Renewable Energy (RE) projects in Uttar Pradesh. The rules cover several key aspects, including general provisions, grid connectivity procedures, tariff determination, and metering standards. By clearly defining these procedures, the Commission seeks to ensure a predictable environment for investors, project developers, and consumers. The new framework also emphasizes promoting the use of renewable and non-conventional energy sources while supporting the efficient functioning of captive generation facilities that supply industries and local areas.

An important section of the draft regulations focuses on bagasse-based co-generation units, which are commonly found in the stateโ€™s sugar industry. The appendix to the document includes a long list of sugar mills that currently operate such facilities across districts like Lakhimpur Kheri, Bareilly, Amroha, Bulandsahar, and Bijnor. These mills use bagasse, a by-product of sugar production, to generate electricity, making them a significant part of the stateโ€™s renewable energy ecosystem. Companies such as New India Sugar Mills, Triveni Engineering, K.M. Sugar, Dalmia Chini Mills, Dwarikesh Sugar, and several units under the UP State Sugar Corporation have been specifically mentioned in the list. The inclusion of these names highlights the integral role the sugar sector plays in Uttar Pradeshโ€™s renewable energy and captive power generation landscape.

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The upcoming regulations are expected to directly influence the operations and financial planning of these mills and other similar entities. For this reason, the ongoing consultation process is crucial, as it allows all stakeholders to express their views before the regulations are finalized. Once approved and notified, the new rules will guide the development, management, and sustainability of captive and renewable energy projects throughout the state, shaping Uttar Pradeshโ€™s energy future for the coming years.

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