Inviting comments/suggestions/objections on Draft DERC (Terms and Conditions for Green Energy Open Access) (First Amendment) Regulations, 2026 – EQ
Summary:
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### 1. Key Proposed Amendment: Removal of Voltage Barrier
The draft amendment deletes the voltage-related condition from the definitions of “Entity” and “Green Energy Open Access Consumer” as well as from Regulation 8(a) of the principal 2024 regulations .
| **Current Rule (2024 Regulations)** | **Proposed Amendment (2026)** |
| :— | :— |
| Minimum 100 kW load **AND** connection at 11 kV or above | Minimum 100 kW load **ONLY** (no voltage requirement) |
| Single connection only | Aggregation of multiple connections within same DISCOM area permitted |
| Captive users subject to load limits | Captive users: **no load limitation** |
**Business Implication:** The current 11 kV requirement effectively excluded **Low Tension (LT) consumers** (below 1 kV), including many telecom towers, small commercial establishments, and MSMEs. Removing this barrier opens green power procurement to thousands of smaller consumers who were previously locked out .
### 2. Regulatory Context: Complementary Open Access Reforms
This GEOA amendment follows closely on the heels of the **DERC (Terms and Conditions for Open Access) (Second Amendment) Regulations, 2026**, which was notified in March 2026 . That amendment introduced a phased elimination of the **additional surcharge** over four years—a major cost component that previously discouraged open access adoption .
| **Reform** | **Status** | **Business Impact** |
| :— | :— | :— |
| Additional surcharge phase-out (4-year linear reduction to zero) | **Notified** (March 2026) | Predictable cost reduction for OA consumers; no refunds for past payments |
| No surcharge on portion of demand retained with DISCOM | **Notified** | Partial hybrid procurement enabled |
| Removal of 11 kV voltage barrier for GEOA | **Draft** (comments due May 5, 2026) | LT consumers gain access to green power |
### 3. Business Analysis: Opportunities & Considerations
**Market Opportunity:**
This amendment is expected to significantly expand the addressable market for renewable energy developers and open access service providers in Delhi . Key beneficiary segments include:
– **Telecom Infrastructure Providers:** Telecom towers typically operate at LT levels and have been unable to access green open access despite significant power consumption.
– **MSMEs & Small Commercial Units:** Small-scale manufacturing, retail chains, office complexes, and warehouses connected at LT can now aggregate multiple connections to meet the 100 kW threshold.
– **Captive Power Producers:** The removal of load limits for captive users allows companies to set up dedicated renewable projects regardless of their sanctioned load.
**Strategic Timing:**
The amendment aligns with the central government’s broader push under the *Electricity (Amendment) Rules, 2024*, which mandates the progressive reduction and eventual elimination of additional surcharges . The DERC has also recently notified a phased trajectory to eliminate the additional surcharge for open access and GNA consumers over four years from the date of access .
**Key Considerations for Stakeholders:**
1. **Technical Feasibility Safeguards:** The amendment is enabling only—it does not modify provisions related to charges, banking, metering, scheduling, or technical feasibility. DISCOMs retain the right to assess grid impact .
2. **Aggregation Mechanism:** The ability to aggregate multiple connections within the same DISCOM area creates a pathway for smaller consumers, but requires coordination across sites.
3. **Banking Charges:** While not covered in this specific amendment, stakeholders should note that other states (e.g., Gujarat) have recently proposed fixed banking charges (₹1.50/unit) for green energy banking . Similar clarity in Delhi would further support financial modeling.
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