The Central Electricity Regulatory Commission (CERC), in an order dated April 10, 2026, has granted regulatory relief to solar power developers following delays in transmission planning and infrastructure readiness in Rajasthan. The order follows a petition by Saurya Urja Company of Rajasthan Limited (SUCRL) regarding the unfinalized location coordinates for the Bikaner-V pooling substation. The Commission has provided a one-time withdrawal option for approximately 60 GW of solar capacity and authorized an extension for the submission of land documents.
Case Profile: Saurya Urja Company of Rajasthan Limited (SUCRL)
SUCRL is the developer of a 700 MW solar park in Bikaner, Rajasthan, which includes a 400 MW Phase-I. Under existing regulations, the developer was required to submit registered land title deeds for the project area by January 26, 2026. SUCRL reported an inability to meet this deadline because the Central Transmission Utility of India Limited (CTUIL) had not provided the specific coordinates for the pooling substation, a requirement for finalized project layout and land acquisition. The developer cited a financial risk involving the potential forfeiture of bank guarantees totaling ₹51.5 crore, specifically identifying the land bank guarantee at ₹400 million.
Technical Constraints in Transmission Planning
CTUIL identified several technical and systemic factors in Rajasthan that necessitated the delay in infrastructure finalization:
- A surge in renewable energy applications in the state has reached approximately 130 GW, causing the saturation of conventional evacuation pathways.
- The saturation of these pathways has forced a transition from conventional alternating current (AC) systems to high voltage direct current (HVDC) networks.
- The shift to HVDC is required to facilitate the movement of power over long distances to other regions in India.
- Technical reviews of these complex systems have left location coordinates for the Bikaner-V pooling substation unfinalized.
Key Regulatory Relief Measures
The Commission granted specific relief to SUCRL and comparable developers facing similar transmission constraints:
- One-Time Withdrawal Option: SUCRL is permitted a three-month window to withdraw its connectivity applications. Applicants in comparable situations where final connectivity has not been granted must be offered the option to withdraw within 30 days of the order, with two months from the date of communication to exercise that option.
- Recovery of Bank Guarantees: Upon withdrawal, CTUIL must return bank guarantees related to land and connectivity within 15 days. CTUIL is authorized to retain 50% of the application fee.
- Timeline Extension: Developers who choose to proceed with their projects are granted a nine-month extension for the submission of registered land documents. This period begins on the date CTUIL provides tentative substation coordinates.
Broader Impact on Renewable Capacity
Transmission planning constraints currently affect approximately 60 GW of renewable capacity. The Commission determined that these delays were beyond the control of the developers. The ruling identifies a procedural gap in the transition framework where connectivity start dates were updated without corresponding revisions to the scheduled commercial operation dates (SCOD). Consequently, the Commission held that SCOD should align with the revised connectivity start dates. Developers remaining in the process must re-furnish connectivity bank guarantees (Conn-BGs) within one month of the order.
Implementation Requirements for CTUIL
The CERC has issued the following active commands to CTUIL to facilitate the order:
- Verify the legal status of Special Purpose Vehicles (SPVs) to ensure they are wholly owned subsidiaries of the connectivity grantees.
- Return land bank guarantees within seven days of receiving the required documents from eligible SPVs.
- Adjust compensation recovered from encashed bank guarantees to reduce transmission charges for other users under the Sharing Regulations, 2020.
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