DERC Approves 350 MW Renewable Peak Power Procurement For BRPL From SJVN

The Delhi Electricity Regulatory Commission has approved a proposal allowing BSES Rajdhani Power Ltd. to procure 350 MW of assured peak power from a renewable energy project developed by SJVN Ltd. The order, issued on April 7, 2026, is an important step to help the utility manage rising electricity demand while also meeting environmental targets.

BRPL had originally planned to secure 600 MW of peak power to ensure a reliable supply during high-demand periods. However, due to limited availability in the SJVN project, only 350 MW could be allocated. The company informed the regulator that its peak demand is expected to grow steadily and may reach around 4,912 MW by 2030. This increase is mainly driven by the expansion of electric vehicle charging and overall growth in electricity consumption.

To address future demand, BRPL is following the government’s resource adequacy guidelines, which require power distribution companies to arrange sufficient long-term power supply. The approved project combines renewable energy with energy storage systems, ensuring a reliable supply even during peak hours.

One of the key reasons for the approval was the cost advantage. BRPL showed that the combined renewable and storage project would cost around ₹7.43 per kWh, which is lower than the estimated ₹8.74 per kWh for a standalone battery storage system. This results in savings of about ₹1.31 per unit, making it a more economical option.

The regulator approved a tariff of ₹6.74 per kWh, along with a trading margin of up to ₹0.07 per kWh. It also directed that the benefit of recent GST reductions must be passed on to consumers. This is expected to reduce the final tariff by around 10 to 15 paise per unit.

The project will also help BRPL meet its Renewable Purchase Obligation, which requires a certain share of electricity to come from clean energy sources. Since the project includes storage and is expected to be commissioned before June 30, 2028, it will qualify for a full waiver of interstate transmission charges, further reducing costs.

With this approval, BRPL can now sign a Power Sale Agreement with SJVN Ltd. and submit it to the Commission. The decision is expected to strengthen Delhi’s power supply during peak demand while keeping electricity costs under control through the use of renewable energy.