Petition for Adoption for Despatchable Power under “Greenshoe Option” from ISTS connected RE Power Projects with ESS by Ministry of Power – EQ
Summary:
—-
**1. Case Overview**
This document is a Record of Proceedings (RoP) from the Central Electricity Regulatory Commission (CERC) regarding a petition filed by NHPC Limited. NHPC is seeking the Commission’s adoption of tariff for an additional 1150 MW of Firm & Despatchable renewable power. This capacity was procured under the “Greenshoe Option” from projects already selected through a competitive bidding process.
– **Petition Number:** 94/AT/2026
– **Subject:** Adoption of tariff for additional 1150 MW under Greenshoe Option.
– **Petitioner:** NHPC Limited (NHPC)
– **Respondents:** Jevargi Solar Power Private Limited and Others (including ACME Solar Holdings)
– **Regulatory Forum:** Central Electricity Regulatory Commission (CERC)
**2. Core Business Issue**
NHPC has successfully procured an additional 1150 MW of firm and despatchable renewable power (paired with energy storage) from existing project developers using the “Greenshoe Option” mechanism. The petition requests CERC to formally adopt the tariff discovered through this process. Tariff adoption by the Commission provides regulatory certainty and legitimizes the Power Purchase Agreements (PPAs) signed between NHPC and the successful bidders.
**3. Key Parties & Their Commercial Interests**
| **Party** | **Role & Business Interest** |
| :— | :— |
| **NHPC Limited (Petitioner)** | **Procurer.** NHPC is the central public sector undertaking acting as the intermediary procurer. Their interest is to secure regulatory approval (tariff adoption) to validate the procurement process and firm up the PPAs, enabling them to supply power to distribution companies (Discoms). |
| **ACME Solar Holdings & Ors. (Respondents)** | **Developers/Sellers.** These are the renewable energy developers who were awarded the additional capacity. Their interest lies in having the tariff officially adopted by the Commission, which provides revenue certainty and strengthens the financial closure and bankability of their projects. |
**4. Business Implications & Strategic Takeaways**
– **Regulatory Backing for Large-Scale Renewables:** This petition is a critical step for operationalizing 1150 MW of firm renewable power. CERC’s adoption of tariff is the final regulatory nod that makes the PPAs binding and bankable.
– **Efficiency of Greenshoe Mechanism:** The use of the Greenshoe Option demonstrates an efficient procurement strategy. It allows for scaling up renewable capacity quickly without the time and cost of a new bidding process, while maintaining the same competitive tariff.
– **Certainty for Project Financing:** For developers like ACME, the tariff adoption order from CERC is a key document required to secure debt from lenders. The ongoing proceeding, while procedural, is therefore of high commercial importance.
– **Alignment with National Policy:** This case is being conducted under the Ministry of Power’s 2023 guidelines for procuring firm and despatchable renewable power with energy storage, highlighting the government’s focus on round-the-clock renewable energy.
—-
For more information please see below link:
