The Gujarat Electricity Regulatory Commission (GERC) has issued the “Draft GERC (Terms and Conditions for Green Energy Open Access) (Fourth Amendment) Regulations, 2026.” The proposal seeks to extend the existing banking charge of ₹1.50 per unit for Green Energy Open Access (GEOA) consumers until June 30, 2026. These regulations will apply to all applicable entities within the state of Gujarat and shall come into force from the date of their publication in the Official Gazette.
The Regulatory Context and Amendment History
The draft proposal follows the “Principal Regulations” (Notification No. 08 of 2024), which were originally notified on February 21, 2024. Since the initial notification, the Commission has issued a sequence of amendments to maintain the interim banking charge while a comprehensive study for a permanent framework is conducted. The proposed Fourth Amendment modifies the implementation timelines established in Regulation 1(4) and Regulation 17.6(viii).
| Amendment | Extension Deadline |
| First Amendment | May 31, 2025 |
| Second Amendment | September 30, 2025 |
| Third Amendment | March 31, 2026 |
| Proposed Fourth Amendment | June 30, 2026 |
Specific Regulatory Amendments
The Commission issued Notification of 2026 (GERC/Tech/GEOA/2026/……) in exercise of the powers conferred under Sections 39, 40, 42, 61, and 86 read with Section 181 of the Electricity Act, 2003 (Act 36 of 2003). The Draft Regulations propose the following verbatim substitutions to the legal framework:
Substitution of Regulation 1(4) The provision regarding “Short Title, Extent and Commencement” is amended as follows:
“1. Short Title, Extent and Commencement …………… 4) The Banking Charge specified in the Regulation 17.6 shall be effective from the date of notification of these Regulations up to 30th June 2026 or earlier date on which the Commission notifies such charges through a separate notification of Regulation.”
Substitution of Regulation 17.6(viii) The provision regarding “Banking facility and Charges” is amended as follows:
“17.6. Banking facility and Charges ……….. (viii) The Banking Charge at rate of Rs. 1.50 per unit shall be effective from the date of notification of these Regulations up to 30th June 2026 or earlier date on which the Commission notifies such charges through a separate notification of Regulation. Thereafter, the banking charge for the period starting from the separate notification by Regulations notified by the Commission shall be applicable.”
Official Reasoning for the Extension
Per the Explanatory Memorandum, the Commission posits that an extension is required because the study to determine a permanent framework for banking charges is still in progress. The Commission cites several technical challenges that have delayed the finalization of this framework:
- Data Collection: The requirement for the collection and compilation of voluminous data regarding grid operations and energy usage.
- Scientific Analysis: The necessity for detailed scientific analysis and study to specify a permanent banking charge framework.
- Interim Stability: The ₹1.50 per unit rate is maintained as an interim measure to ensure market stability for commercial and industrial users specifically pending the scientific determination of the final methodology.
Technical Banking Framework and Limitations
The proposed amendment operates within the technical parameters established by the state’s existing green energy framework.
- Current technical rules for energy banking in Gujarat:
- Solar Projects: Energy banking is restricted to a daily window between 7:00 AM and 6:00 PM.
- Wind and Wind-Solar Hybrid Projects: Energy banking is permitted on a monthly basis.
- Consumption Limits: Banking is capped at 30% of the consumer’s total monthly power consumption from the distribution company (DISCOM).
- REC Mechanism Exclusion: Banking is not permitted for projects opting for the Renewable Energy Certificate (REC) mechanism, as these projects are subject to mandatory real-time metering and time-of-day (ToD) requirements.
Timeline and Stakeholder Participation
Stakeholders are invited to submit comments, suggestions, or objections regarding the Draft Regulations to the Commission by March 27, 2026. The draft was issued in Gandhinagar on March 11, 2026 (11/03/2026) under the authority of Secretary Ranjeeth Kumar J., IAS. The regulations will become enforceable following the review of submissions and subsequent publication in the state’s Official Gazette.
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