The Meghalaya State Electricity Regulatory Commission (MSERC) has issued the 4th Amendment to the Meghalaya RPO & Its Compliance Regulations, 2018, in alignment with the Ministry of Power’s latest directives under Gazette Notification S.O. 4421(E) dated 27 September 2025. The amendment was officially notified on 27 October 2025 under No. MSERC/RPO/Regulations/2018/2024/243.
These regulations shall be called the Meghalaya State Electricity Regulatory Commission
(Renewable Energy Purchase Obligation & its Compliance) (4th Amendment) Regulations,
2018
The updated regulations aim to strengthen the state’s renewable energy framework, enhance clarity in Renewable Purchase Obligation (RPO) computation, and ensure consistency with national-level energy transition policies.
Scope and Implementation
According to the notification:
- The amendment applies across the entire State of Meghalaya.
- It comes into force from the date of Gazette publication, with operational effect beginning FY 2025–26.
- The new changes amend specific clauses of the 3rd Amendment Regulations (2024).
Key Amendments to RPO Framework
1. Distributed Renewable Energy (DRE) Definition Expanded
The amendment replaces sub-clauses under Regulation 5.2, highlighting:
- DRE obligations must be fulfilled using renewable projects ≤10 MW, including solar installations in all configurations:
- Net metering
- Gross metering
- Virtual and group net metering
- Behind-the-meter setups
- Any configuration notified by the Central Government
- DRE compliance is typically measured in kWh.
- If generation data is unavailable, capacity will be converted to energy using a multiplier of 4.0 kWh/kW/day.
2. “Other Renewable Energy” Clarified
The “Other Renewable” category may include energy from:
- Wind power
- Hydro projects (including free power) commissioned before 1 April 2024
- Biomass pellet and municipal solid waste–based co-firing
3. Fungibility of RPO Categories
- Obligations under Wind, Hydro, and Other Renewable categories are fungible—shortfall in one may be compensated with surplus from another.
- Distributed Renewable Energy (DRE) remains non-fungible, though DRE surplus may offset other components.
4. Exclusions from RPO Computation
The following do not count towards RPO:
- Electricity from nuclear sources
- Self-consumed electricity from waste heat recovery (with specific exceptions)
- 50% of electricity from fossil fuel–based cogeneration plants
- 50% of fossil-fuel electricity used in aluminium smelters
5. RPO for Open Access Consumers & Captive Users
- Open access consumers must meet their total RPO based on energy drawn at the grid point.
- Captive users must meet RPO based on self-generated and self-consumed electricity, minus excluded categories.
- Waste heat recovery–based power is largely exempted, except for certain gas-based WHR steam generators.
6. RPO for Distribution Licensees
The RPO for DISCOMs is calculated on electricity supplied to consumers, excluding:
- Open access consumer consumption (from non-DISCOM sources)
- Captive consumption
If MePDCL fulfils its RPO using RECs, the cost will be allowed as power purchase cost.
7. Permitted Methods of RPO Compliance
Obligated entities can meet RPO through:
- Consumption of renewable energy (direct or via storage)
- Purchase or self-generation of Renewable Energy Certificates (RECs), including RECs under Virtual PPAs
- Payment of buyout price specified by CERC
Funds collected through the buyout mechanism will be deposited in the Central Energy Conservation Fund, with 75% transferred to State Energy Conservation Funds.
8. Aggregated RPO for Group Entities
For entities under common control, RPO compliance may be considered at the holding company level or at the level of a registered cooperative society.
Illustrative RPO Calculation Examples
MSERC included two sample computations in Annexure-I:
Example 1: Designated Consumer
- Adjusted consumption = 350 MU
- Renewable energy consumed = 200 MU
- RPO compliance = 57.14%
Example 2: Distribution Licensee
- Adjusted consumption = 27,600 MU
- Renewable energy consumed = 10,500 MU
- RPO compliance = 38.04%
These examples help obligated entities understand how exclusions, distributed RE, and consumer-level green energy interact in RPO calculation.