Central Electricity Regulatory Commission Restores Connectivity Approval For 45 MW Solar Capacity After Delay Relief

The Central Electricity Regulatory Commission (CERC) has granted relief to VEH Jayin Renewables Private Limited (VJRPL) by condoning a 31-day delay in the submission of mandatory bank guarantees linked to its hybrid renewable energy project in Madhya Pradesh. The decision clears the way for the company to continue development of the additional 45 MW solar component that is part of a larger 196.8 MW wind-solar hybrid project.

The dispute arose after the notification of the Third Amendment to the General Network Access (GNA) Regulations. Under the revised rules, projects that had already received approval for additional capacity were required to submit Connectivity Bank Guarantees, known as Conn-BG1 and Conn-BG3, within two months. In VJRPL’s case, the deadline for submission was November 8, 2025.

According to the case details, the Central Transmission Utility of India Limited (CTUIL) issued a reminder notice to the company only two days before the deadline. VJRPL eventually submitted the required bank guarantees on December 8, 2025, resulting in a delay of 31 days. However, CTUIL refused to accept the delayed submission, stating that it was bound by the regulations and did not have the authority to provide any extension or relaxation.

As a result, CTUIL revoked the connectivity approval for the 45 MW solar capacity in March 2026. This decision affected the progress of the renewable energy project and created uncertainty over its implementation timeline.

VJRPL later approached the CERC and requested the Commission to exercise its “power to relax” under the regulations. The company argued that the delay was not intentional and occurred due to procedural and administrative complexities involving international investors, lender approvals, and internal documentation processes. It also informed the Commission that the project was already at an advanced stage of development and close to commissioning.

During the proceedings, CTUIL maintained that it was only following the provisions of the GNA Regulations and could not independently accept delayed bank guarantees.

After reviewing the submissions, the Commission observed that VJRPL had shown genuine intent to proceed with the project by ultimately furnishing the required guarantees of ₹50 lakh and ₹90 lakh. The Commission further noted that the delay was procedural in nature and did not indicate abandonment of the project.

Using its powers under Regulation 41 of the GNA Regulations, the CERC decided to condone the delay in order to remove hardship and ensure that the renewable energy project could move forward.

At the same time, the Commission imposed a financial condition on the company. VJRPL has been directed to pay compensation of ₹7 lakh, which is equal to 5% of the total bank guarantee amount, within 30 days.

The Commission also directed CTUIL to restore the connectivity approval within one week after receiving proof of payment and to process the technical data related to both the wind and solar components without further delay. The order is expected to help the project proceed toward trial runs and eventual commissioning.