RERC Approves New Intra-State Transmission Connectivity Framework For Rajasthan Power Grid

The Rajasthan Electricity Regulatory Commission has issued an important order approving a new procedure for granting connectivity to the state’s intra-state transmission system. This decision comes after the notification of the Rajasthan Electricity Grid Code Regulations in early 2025, which directed the State Transmission Utility, Rajasthan Rajya Vidyut Prasaran Nigam, to submit revised procedures for providing grid connectivity in the state.

The approval followed a detailed public consultation process. RVPN submitted the first draft of the connectivity procedure in May 2025. After this, the Commission invited comments and suggestions from stakeholders by publishing notices in leading newspapers and uploading documents on official websites. The consultation period remained open until July 2025. Based on the feedback received, several changes were made to the draft, especially related to technical requirements, fee structure, and the treatment of renewable energy projects.

One of the key objectives of the new procedure is to regulate renewable energy projects more strictly and avoid speculative blocking of transmission capacity. The Commission has introduced tighter timelines for using granted connectivity. For projects approved after August 21, 2025, developers must utilize the granted connectivity within two years. If the project fails to meet this deadline, the connectivity approval will be cancelled and made available to other applicants. Earlier projects were allowed a three-year period. Extensions will only be granted in rare situations, such as force majeure events or changes in law.

The order also clearly defines financial conditions for applicants. Developers are required to pay non-refundable grid connectivity charges, generally fixed at ₹2.5 lakh per megawatt or the actual cost of the bay, whichever is higher. In addition, applicants must submit a bank guarantee equal to the cost of the bay to show serious intent. This bank guarantee will be refunded only after the project is successfully commissioned. The Commission has also reiterated that grid connectivity approvals cannot be transferred, even between parent and subsidiary companies, citing possible legal and regulatory complications.

Technical requirements have been strengthened to ensure safe and reliable grid operation. All applicants must comply with Central Electricity Authority standards and provide real-time operational data to the State Load Despatch Centre. Projects with a capacity above 50 megawatts, including renewable energy and battery storage systems, will now be required to install advanced monitoring systems such as Phasor Measurement Units.

The order also covers operational aspects such as the sharing of transmission infrastructure and the relinquishment of unused capacity. Infrastructure sharing will be allowed only with prior approval from the STU. Maintenance of interconnection facilities will remain the responsibility of the transmission licensee, with costs recovered through standard transmission charges. Overall, the new framework aims to bring greater transparency, discipline, and efficiency to Rajasthan’s power transmission planning and grid expansion.