TGERC Notifies Resource Adequacy Regulation 2026 To Strengthen Telangana’s Power Planning

The Telangana Electricity Regulatory Commission (TGERC) has notified the Framework for Resource Adequacy Regulation, 2026, in a major move to strengthen power planning and ensure a reliable electricity supply in the state. The new regulation applies to all key stakeholders in Telangana’s power sector, including generating companies, transmission utilities, the State Load Despatch Centre (SLDC), and distribution companies (DISCOMs).

The regulation aims to create a clear and systematic mechanism for planning generation, transmission, and distribution resources in advance. The objective is to ensure that the state can meet its projected electricity demand while maintaining high standards of reliability and securing an optimal mix of power sources. The framework outlines a structured process that includes demand forecasting, resource planning, procurement of power, and strict monitoring of compliance.

As part of the new rules, resource adequacy planning will be carried out on an annual rolling basis covering a 10-year horizon. DISCOMs have been directed to prepare detailed Resource Adequacy Plans (DRAPs) for the long term, medium term, and short term. To improve the accuracy of projections, the regulation mandates the use of scientific and data-driven tools such as trend analysis, econometric modelling, and artificial intelligence or machine learning techniques. These forecasting models must consider multiple factors, including changing weather conditions, the growing adoption of electric vehicles, and the impact of demand-side management measures.

The regulation also introduces important technical concepts such as Capacity Credit (CC) and Planning Reserve Margin (PRM). Capacity Credit defines the extent to which a particular power source, especially renewable energy like solar or wind, can reliably contribute to meeting peak electricity demand. The Planning Reserve Margin ensures that sufficient additional capacity is available above the expected peak demand to manage unexpected spikes or contingencies.

The SLDC has been given a key role in consolidating demand forecasts from across the state and coordinating with national authorities such as the Central Electricity Authority (CEA). Under the regulation, DISCOMs must demonstrate that they have tied up 100 percent of their required power for the first year and at least 90 percent for the second year through a combination of long-term, medium-term, and short-term contracts.

With these comprehensive planning and procurement guidelines in place, Telangana aims to avoid power shortages and ensure smooth integration of renewable energy into the grid. The Commission has made it clear that failure to meet the prescribed resource requirements may attract non-compliance charges.