CERC Reviews Dispute Between Renewable Developers And CTUIL Over Transmission Charges

The Central Electricity Regulatory Commission has taken up an important case involving some of India’s leading renewable energy companies over the issue of transmission charges. Companies like ReNew Solar Power, Adani Renewable Energy, and Altra Xergi Power have filed petitions challenging the “bilateral transmission charges” imposed by the Central Transmission Utility of India Limited.

The dispute is mainly about whether these companies should pay for transmission infrastructure that was completed before their own solar and hybrid power projects became fully operational. These projects are located in Rajasthan and are part of India’s growing renewable energy capacity.

The developers argued that the charges raised by CTUIL are not valid. They said their General Network Access (GNA), which allows them to use the national grid, was not fully active at the time the charges were applied. According to them, the Associated Transmission System (ATS), which includes the required network of transmission lines and substations, was also not completely ready.

They explained that under current rules, renewable energy companies are usually exempt from transmission charges once they begin generating power. However, they can be charged if there is a delay on their side after the transmission system is ready. In this case, the developers said the entire transmission scheme was not finished, especially the final parts extending towards Delhi and Uttar Pradesh. Because of this, they believe they should not be held responsible.

The companies also highlighted that they had to rely on temporary transmission access, known as T-GNA, to send power to the grid. This often led to power curtailment and financial losses, adding to their concerns.

On the other hand, CTUIL and Powergrid Ramgarh Transmission Limited presented a different view. They stated that the immediate infrastructure required to connect these projects, referred to as Part A, was already commissioned on December 24, 2023. According to them, this means the system was ready for use.

They also pointed out that these renewable projects were already using the transmission lines to evacuate power, showing that the system was functional. In addition, they said that significant investments had been made in building this infrastructure, and transmission charges are necessary to recover costs and manage financial obligations.

CTUIL further argued that payment liability begins once the immediate transmission system is ready, even if the full GNA is not officially active.

The commission observed that all three petitions involve similar issues. As an interim step, it directed each developer to deposit Rs. 1 crore to avoid any strict action such as disconnection of power supply.

As of early 2025, ReNew’s projects of about 1000 MW had partially effective GNA, while Adani’s 600 MW and Altra Xergi’s 380 MW projects had become effective from January 22, 2025.

The commission has now reserved its final decision. The outcome is expected to play a key role in defining how transmission readiness is interpreted in India’s renewable energy sector and may impact future projects across the country.