CERC Notifies Monthly Escalation Rates for Procurement of Power
The Central Electricity Regulatory Commission (CERC) has notified the monthly escalation rates for October 2025, applicable for payments related to the procurement of power by Distribution Licensees. These rates are used for Power Purchase Agreements (PPAs) entered into under specific Ministry of Power (MoP) guidelines, particularly those related to the bidding process and the SHAKTI Policy for long-term procurement from Thermal Power Stations.
Constitution of New Conciliation Committee of Independent Experts (CCIEs) for Power Sector Disputes
The Ministry of Power (MoP) issued an Office Memorandum (OM) on 27 November 2025, constituting 3 new Conciliation Committees of Independent Experts (CCIEs) to resolve contractual disputes in projects and schemes implemented by Central Public Sector Undertakings (CPSUs) and Statutory Bodies under the Ministry’s administrative control. This action follows the conciliation mechanism initially introduced by the MoP vide OM dated 29 December 2021, and subsequent amendments.
Government Extends Deadline for Comments on Draft Electricity (Amendment) Bill, 2025
The government has extended the deadline for stakeholders to submit comments and suggestions on the Draft Electricity (Amendment) Bill, 2025. The new deadline for submission of comments and suggestions is November 30, 2025.
Private Capital to Finance State Power Grid Expansion
The central government is actively promoting the Acquire, Operate, Maintain, and Transfer (AOMT) model to monetize intra-state transmission assets, aiming to unlock public capital and channel private investment into necessary power grid expansion. This strategy is highlighted in a recent concept note detailing the regulatory and financial framework for monetized transmission assets, particularly in light of the massive investment required to strengthen the country’s power system.
CERC Notifies Power Procurement Escalation Rates (October 2025 – March 2026)
The Central Electricity Regulatory Commission (CERC) has notified the annual escalation rates for power procurement payments for the period October 1, 2025, to March 31, 2026. These rates are used for payments under Power Purchase Agreements (PPAs) that follow the tariff-based competitive bidding guidelines issued by the Ministry of Power.
Power Ministry Unveils ‘Preventive Vigilance Initiatives’ Booklet During Vigilance Awareness Week 2025
The Ministry of Power (MoP), Government of India, has released a comprehensive booklet titled “Preventive Vigilance Initiatives: Sharing Best Practices in Power Sector CPSEs.” The launch coincides with Vigilance Awareness Week 2025, observed under the theme “Vigilance: Our Shared Responsibility”.
CERC Proposes Buyout Price as Alternate Compliance Mechanism for Renewable Consumption Obligation
The Central Electricity Regulatory Commission (CERC) has issued a proposal to establish a Buyout Price as an alternative mechanism for Designated Consumers to fulfill their Renewable Consumption Obligation (RCO). This initiative is a direct response to a Ministry of Power notification dated September 27, 2025, which introduced three options for meeting the RCO targets.
Ministry of Power Circulates Draft Electricity (Amendment) Bill, 2025 for Comments
The Ministry of Power has released the Draft Electricity (Amendment) Bill, 2025, marking a major step toward structural reforms intended to strengthen the power sector in alignment with evolving industry needs and the goal of “Viksit Bharat @ 2047.” The Ministry has formally requested comments and suggestions on the draft Bill from a wide range of stakeholders, including government bodies, regulators, PSUs, and industry associations.
New Rules Issued to Promote Energy Storage Systems in Power Sector
The Ministry of Power has published the Electricity (Amendment) Rules, 2025, to further modify the Electricity Rules, 2005. These amendments primarily focus on providing a clear regulatory framework for the development, ownership, and utilization of Energy Storage Systems (ESS) within India’s electricity grid. The new rules came into force upon their publication in the Official Gazette on September 19, 2025.
Ministry of Power Approves Panel of Independent Engineers for Hydro Projects
The Ministry of Power has approved a panel of 20 experts to serve as “Independent Engineers” (IEs) for the resolution of contractual disputes in hydro power projects. The panel, which includes former senior executives from NHPC, NEEPCO, NTPC, SJVN, and THDC, is part of the Ministry’s “Dispute Avoidance Mechanism” for projects executed by Central Public Sector Enterprises (CPSEs) under its administrative control.
Ministry of Power Extends Validity of Conciliation Committee for Contractual Disputes
The Ministry of Power has extended the tenure of its three Conciliation Committees of Independent Experts (CCIEs) for an additional six months, effective September 22, 2025. This extension is to ensure the continued resolution of contractual disputes for projects implemented by Central Public Sector Undertakings (CPSUs) and Statutory Bodies under the Ministry’s administrative control.
Ministry of Power Waives CEA Concurrence for Pumped Storage Schemes
The Ministry of Power has issued a new notification, that supersedes a previous order from 2006 and introduces new regulations for the establishment of hydro generating stations. The notification, issued in exercise of powers conferred by sub-section (1) of section 8 of the Electricity Act, 2003, states that any scheme for a hydro generating station with an estimated capital expenditure exceeding ₹3,000 crore will require the concurrence of the Central Electricity Authority (CEA).