The Telangana Electricity Regulatory Commission (TGERC) has amended the Terms and Conditions of Open Access Regulation, 2024, to clarify the regulatory treatment of energy injected prior to the execution of wheeling agreements and enable renewable energy generators to receive Renewable Energy Certificates (RECs) for unutilized banked energy.

Background

The principal TGERC Terms and Conditions of Open Access Regulation, 2024, was notified on March 18, 2024.

Under the earlier framework, Clause 33.5 provided for the issuance of RECs to green energy open access consumers for unutilized banked energy. Following the notification of the regulation, the National Load Dispatch Centre issued a clarification on the issuance of RECs for surplus or unutilized energy injected by Green Energy Open Access generators during a month.

Following this clarification, the Telangana State Load Dispatch Centre approached the Commission seeking amendments to the state regulation to ensure regulatory consistency and clarity.

The request specifically sought enabling provisions for the issuance of RECs directly to renewable energy generators for unutilized banked energy.

REC Eligibility

Through the amendment, Clause 14.11 has been revised to state that any energy injected into the licensee’s network from the date of grant of Green Energy Open Access until the date of submission of the wheeling agreement will not be eligible for energy charges and will be treated as inadvertent power. This clarification establishes the financial and accounting treatment of such energy and clarifies its settlement.

Further, Clause 33.5 has been amended to explicitly provide that renewable energy generating stations will be entitled to receive RECs corresponding to the quantum of unutilized banked energy.

By doing so, the Commission has formally clarified REC eligibility for renewable energy generators operating under Green Energy Open Access and aligned the Telangana regulatory framework with the national REC implementation procedures.

The amendment provides regulatory certainty to generators, load dispatch agencies, and market participants regarding REC issuance and the treatment of banked and inadvertent energy.

In November 2025, the Telangana Electricity Regulatory Commission issued the Draft Telangana Electricity Regulatory Commission (Framework for Resource Adequacy) Regulations, 2025, outlining a comprehensive 10-year framework for demand forecasting, generation planning, and procurement.

Subscribe to Mercom’s real-time Regulatory Updates to ensure you don’t miss any critical updates from the renewable industry.