HomeBreaking NewsDelhi Green Power Rules Relaxed for Businesses With 100 kW Demand

Delhi Green Power Rules Relaxed for Businesses With 100 kW Demand

Delhi businesses with a sanctioned load or contracted demand of at least 100 kW can now buy renewable electricity through the open access mechanism regardless of the voltage level of their connection, after the Delhi Electricity Regulatory Commission relaxed the eligibility rules.

The revised regulations remove the earlier requirement that commercial and industrial consumers be connected at 11 kV or above to procure renewable power. The change means a factory or other eligible business with a connection below 11 kV can also source electricity generated from renewable energy, provided it meets the 100 kW demand threshold.

DERC issued the amendments through a gazette notification under the powers conferred on it by the Electricity Act, 2003. The rules will come into force from the date of publication in the official gazette.

Open access allows businesses to purchase electricity from renewable generators instead of relying entirely on conventional power supplied by their local distribution company. By removing the voltage-level restriction, the commission has widened the potential pool of commercial and industrial consumers that can participate in green power procurement.

The amendments also change the rules for captive renewable energy projects. These are solar or wind power plants established by businesses primarily to generate electricity for their own consumption. Earlier, the capacity of such a project was linked to the consumer’s sanctioned load.

Under the revised rules, that restriction has been removed. Businesses can now establish captive renewable energy projects based on their energy requirements rather than being limited by the sanctioned load recorded for their electricity connection. For example, a factory can set up a solar power plant with capacity higher than its sanctioned load, subject to the applicable regulatory framework.

The change addresses two separate parts of the power procurement process: access to renewable electricity produced by another generator and the ability to develop a renewable project for a business’s own consumption. Both routes were previously subject to restrictions that could limit participation by businesses with lower-voltage connections or constrain the size of captive projects.

Officials said the amendments are intended to encourage investment in renewable energy, reduce dependence on conventional power sources and help lower greenhouse gas emissions. They also said wider access to green electricity could help businesses manage energy costs over the long term.

For Delhi’s commercial and industrial consumers, the immediate eligibility test remains a sanctioned load or contracted demand of at least 100 kW. The notification does not remove that threshold; instead, it removes the separate connection-voltage condition and loosens the capacity link for captive renewable projects.

The revised provisions will take effect once the gazette notification is published, marking the next formal step in implementing the changes.


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