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GERC Issues New RPO & Storage Regulations for 2025

The Gujarat Electricity Regulatory Commission (GERC) has notified the GERC (Procurement of Energy from Renewable Sources) Regulations, 2025, setting out Renewable Purchase Obligations (RPOs) and new storage requirements for distribution licensees, open access consumers, and captive users above 100 kW capacity. Retail consumers sourcing only from distribution licensees are exempt, except those classified as designated consumers under the Energy Conservation Act, 2001.

The regulations define year-wise RPO targets for 2024–2030 across wind, hydropower, distributed renewable energy (projects under 10 MW, including rooftop solar), and other renewables such as biomass, bagasse, and older wind/hydro plants. Obligated entities can balance shortfalls between categories, while renewable energy used for green hydrogen or ammonia production will count toward RPO compliance.

A mandatory storage obligation has also been introduced, requiring entities to meet a portion of their consumption through storage charged at least 85% from renewable sources. This requirement continues through 2030.

Compliance will be monitored by the Gujarat Energy Development Agency (GEDA) via a new web portal, with quarterly and annual reporting mandatory. Penalties for non-compliance are set at Rs3.72/kWh of shortfall, with funds used for REC purchases or renewable infrastructure. REC trading and rooftop solar net metering are included as valid compliance mechanisms.