PSERC Proposes Amendment To Strengthen Green Energy Open Access And Banking Rules In Punjab

The Punjab State Electricity Regulatory Commission (PSERC) has released a draft notification proposing the 13th Amendment to its “Terms and Conditions for Intra-State Open Access Regulations, 2011” in March 2026. The proposed changes are aimed at improving clarity and strengthening the framework for managing green energy within the state’s power system.

One of the key highlights of the draft amendment is the clearer definition of a “Green Energy open access consumer.” The commission has now explicitly included captive users who receive electricity from renewable energy-based Captive Generating Plants (CGPs). These users, connected to Punjab’s intra-state transmission or distribution network, will now be formally recognized under the regulatory framework. This step is expected to remove ambiguity and ensure better inclusion of such consumers in the state’s green energy ecosystem.

Another major change has been proposed in Regulation 28(6), which deals with the banking of energy. Banking allows consumers to store excess renewable energy with the utility and use it later when needed. Under the revised rules, banked energy can be carried forward on a monthly basis during a fixed settlement period. The commission has defined this settlement cycle from June 1 of one year to May 31 of the following year, bringing more structure and predictability to the process.

However, the amendment also introduces strict conditions for the use of banked energy. Any unused energy at the end of the settlement period will automatically lapse. The commission has clearly stated that no financial compensation will be provided for such unutilized energy. This “use it or lose it” approach is intended to encourage efficient consumption and better planning by consumers.

To ensure a smooth transition, the draft includes a special provision for the ongoing 2025-26 financial year. The current settlement period will be extended until May 31, 2026, aligning it with the newly proposed timeline.

The draft also mentions that any surplus unutilized energy will be handled in line with the Electricity (Promoting Renewable Energy to Green Energy Open Access) Amendment Rules, 2023, ensuring consistency with national-level policies.

The 13th amendment continues the evolution of the original regulations introduced in July 2011. Over the past 15 years, these rules have been revised multiple times to reflect changes in the energy sector, with the most recent update made in July 2025.

Once finalized and published in the official gazette, these new provisions will come into effect. The commission believes that these changes will bring greater clarity, improve energy management, and support the continued growth of renewable energy adoption in Punjab.