CERC issues Removal of Difficulties Order: Key Clarifications under the GNA Regulations, 2022

CERC issues Removal of Difficulties Order: Key Clarifications under the GNA Regulations, 2022

By – Jane Kapai

Table of Contents

Background and Context of the Removal of Difficulties Order

The Central Electricity Regulatory CERC (“CERC”) has issued a Suo Moto Removal of Difficulties order dated 08.12.2025 in Petition No. 14/SM/2025, under the CERC (Connectivity and General Network Access to the Inter-State Transmission System) Regulations, 2022 (“GNA Regulations”).1 Following the Third Amendment of the GNA Regulations (effective from 09.09.2025), which introduced the solar-hour and non-solar-hour access framework, several RE developers and industry associations highlighted operational challenges, seeking changes in specific provisions of the GNA Regulations. On consideration of the submissions made by the stakeholders, the CERC has issued the following key clarifications and directions: 

1. Relaxation of Regulation 5.11(b) of the GNA Regulations

Under Regulation 5.11(b) of the GNA Regulations, REGS (with or without ESS) or RPPD, based on solar source or an RHGS with a combination of solar source with another source (with or without ESS), have the right to make an application for an additional capacity under Regulation 5.2 or Regulation 5.11(a), for their conversion as an entity with solar hour access. The timeline for submission of this application was originally specified as three months from the effectiveness of the Third Amendment, however, several developers represented that this period was insufficient for undertaking detailed internal evaluation for making investment for installing such additional generation capacity. Taking into consideration these concerns the CERC has extended the timeline for submission, from three months to 5.5 months from the date of effect of the Third Amendment i.e., 09.09.2025. 

2. SCOD Declaration for RPPDs 

Regulation 37.10(g) of the GNA Regulations, requires RPPDs that have not yet achieved generation capacity equal to their connectivity quantum to declare SCODs for the generating stations under the Renewable Power Park within three months from the date of effectiveness of the Third Amendment. As many parks were developed under the earlier frameworks that did not impose such obligations, the issue of identification and commissioning of generating stations depending on various external factors, regulatory approvals, and project timelines which were beyond the control of the RPPD, was highlighted by the NSEFI, and hence requested the deletion of Regulation 37.10(g). The CERC has decided to retain this provision, as that it provides for transition of RPPD which have already been issued connectivity prior to the Third Amendment, however, the timeline for declaring SCOD from three months was extended with an additional two and half months from the date of effectiveness of the Third Amendment, as a one-time measure. 

3. Installation of Additional Capacity for Technical Compliance at the Point of Injection

The CERC has relaxed Regulation 5.1 of the GNA Regulations, which requires the generating station including REGS to apply for connectivity for the quantum, equal to the installed capacity for the generating station. As per the Central Electricity Authority (Technical Standards for Connectivity to the Grid) (Amendment) Regulations, 2019 the definition of “installed capacity” for wind and solar generating station, is the summation of nameplates capacities of all the units of the generating station and the summation of nameplates capacities of all the inverters of the project as the case may be. 

The CERC had taken into consideration the need for  RE developers to install additional inverters, WTGs or equivalent equipment to meet reactive power compliance or any other technical compliance at the Point of Injection, and clarified that such additional inverter capacity  shall not be considered as an additional capacity for purpose of seeking additional Conn-BGs and compliance under Regulation 5.8, whether applied under Regulation 5.1 or Regulation 5.2 of the GNA Regulations 2022. 

The CERC also directed the CTUIL to confirm through system studies that the additional installed capacity is required only for reactive compliance and other technical requirements and does not inject active power in excess of the quantum of connectivity granted at the point of injection. 

4. ESS Charging Prior to Completion of CTU Drawal Studies 

As per Regulation 37.10(e) of the GNA Regulations, REGS with storage may apply for the maximum quantum of injection and the maximum quantum of drawal (for charging the storage system) within its granted connectivity, and such applications are required to be processed by the Nodal Agency within 60 days. The Commission noted that despite this provision, CTUIL has been issuing final connectivity grants for BESS under Regulation 5.2 with the drawal quantum indicated as “NIL” due to pending CTUIL drawal studies. The Commission has therefore directed that ESS projects that have been granted Connectivity with ‘NIL’ drawal, due to the pending drawal studies, as well as REGS with ESS which have to be transitioned under Regulation 37.10(e), may draw charging power from the Grid under T-GNA up to their granted connectivity quantum, based on the margins, until CTU completes the drawal study and any required augmentation. Once the study is completed, drawal will shift to GNA as per the quantum approved. CTU has accordingly been directed to complete these studies within four months from the issuance of the order. 

5. Change of Land Parcels under Regulation 5.8 of the GNA Regulations

Regarding changing the location of land parcels under Regulation 5.8 or Regulation 11A of the GNA Regulations, the Third Amendment limits the number of availing the option to only one time per entity. The CERC has clarified in this regard that the restriction will not consider the changes made in land parcels prior to the effectiveness of the Third Amendment, and any entity which has already changed land parcels before the said amendment shall also be eligible to seek change once, post the effectiveness of the third amendment.

6. Eligibility to make application for Non-Solar Hour Access

 REGS or RPPDs based on solar source or a combination of solar source with another source, (with or without ESS), with in-principle or final  grant of connectivity, effective GNA, or pending applications of connectivity applied before the effectiveness of the Third Amendment, have been made eligible to apply for additional capacity for non-solar hour access under the Right of First Refusal (“ROFR”) through an application under Regulation 5.11(a) or 5.2 of the GNA Regulations. The timeline under Clause (4) of Annexure IV of the GNA Regulations for making such an application has been accordingly extended to 5.5 months. The CERC clarified that RPPD is made eligible to apply for non-solar hours access only by way of ROFR under the GNA Regulations, otherwise which it is not an eligible entity to apply independently under Regulation 5.11(a) which is reserved for generators such as wind and storage projects. 

7. Change in Energy Source, Regulation 9.3 of the GNA Regulations

Regulation 9.3 of the Third Amendment of the GNA Regulations, permits change of renewable energy source to be carried out only once for a connectivity grantee, by making an application to the Nodal Agency for approval for such change within 18 months from the in-principle grant of Connectivity or 18 months prior to the firm start date of connectivity whichever is later. As such restrictions on number and timeline were not provided prior to the Third Amendment; in order to address the issue where an entity was not given final grant of connectivity till issuance of third amendment and 18 months from in- principle grant expired, the CERC has allowed all entities with in-principle connectivity granted prior to the Third Amendment a one-time opportunity to change their energy source under Regulation 9.3, regardless of any prior source changes or expiry of the earlier timeline.

8. Land BG Cases, Regulation 11A of the GNA Regulations

Regulation 11A(1) as amended under the Third Amendment of the GNA Regulations, requires land documents to be submitted to the Nodal Agency within 18 months of issuance of in-principle connectivity or 12 months of final connectivity, whichever is earlier, or nine months from the date of issuance of tentative coordinates where the tentative or final coordinates were not provided with the final grant. The CTU has in this regard informed that the timeline of 9 months shall be applicable only for cases where final grant of Connectivity has been issued, otherwise the 18 months period from in-principle grant shall apply.  The CERC clarified that if CTU delays issuing the final grant and has not provided coordinates to such entity, the entity must be given at least nine months from the communication of tentative coordinates to submit land documents. The CTUIL has been directed to apply this extended timeline accordingly.

FAQs

  1. What is the purpose of the Removal of Difficulties Order issued by CERC under the GNA Regulations, 2022

    The Removal of Difficulties Order has been issued by the CERC to address practical and operational challenges that emerged after the Third Amendment to the GNA Regulations, 2022, particularly following the introduction of the solar-hour and non-solar-hour access framework. The Order clarifies regulatory ambiguities, relaxes rigid timelines, and provides transitional directions to ensure smoother implementation of the amended GNA framework without disrupting ongoing or legacy projects.

  2. Who are the key stakeholders impacted by this Order?

    The Order primarily affects renewable energy generating stations, including solar, hybrid, and energy storage system (ESS) projects, as well as Renewable Power Park Developers (RPPDs). It also has implications for entities holding in-principle or final connectivity, effective GNA, or pending connectivity applications under the pre-amendment regime, by offering targeted relaxations and clarifications to ease their transition to the revised access framework.

  3. What relaxation has been provided under Regulation 5.11(b)

    Under Regulation 5.11(b), the CERC has granted a one-time relaxation by extending the deadline for eligible entities to apply for additional capacity for conversion to solar-hour access. The original timeline of three months from the effective date of the Third Amendment has been extended to five and a half months from 09.09.2025, recognising the need for additional time to undertake internal assessments and investment planning.

  4. Why was this Order issued by the CERC?

    The CERC issued the Removal of Difficulties Order in exercise of its powers under Regulations 42 and 44 of the GNA Regulations, 2022, after considering representations from renewable energy developers and industry associations. These stakeholders highlighted difficulties in meeting revised timelines, uncertainties around compliance obligations, and operational issues arising from the introduction of the solar-hour and non-solar-hour access structure under the Third Amendment.

  5. Who can apply for non-solar hour access?

    Renewable Energy Generating Stations (REGS) and Renewable Power Park Developers (RPPDs) based on solar sources, or a combination of solar with another source, with or without ESS, are eligible to apply for non-solar-hour access if they hold in-principle or final connectivity, effective GNA, or had pending connectivity applications prior to 09.09.2025. Such applications may be made under the Right of First Refusal through Regulation 5.11(a) or Regulation 5.2 of the GNA Regulations, 2022, within the extended timeline of five and a half months, subject to the eligibility limitations clarified by the Commission.

References –

  1. Order dated 08.12.2025 in Petition No. 14/SM/2025

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