Follow India Renewable Energy News on WhatsApp for exclusive updates on clean energy news and insights

Rs38,695 Crore Worth Wind Projects at Risk of Losing ISTS Waiver Due to Delays

Over 5.5 GW of wind energy projects worth Rs38,695 crore are likely to miss the critical Inter-State Transmission System (ISTS) charge waiver due to regulatory delays and natural calamities. The waiver, which offers a 25-year cost advantage, is available only for projects commissioned by June 30, 2025. While developers applied for ISTS connectivity before the June 2023 cut-off, approvals under the General Network Access (GNA) framework are being issued for 2026 or later, rendering many projects ineligible.

The impacted projects span states such as Madhya Pradesh, Karnataka, Andhra Pradesh, Maharashtra, Gujarat, and Rajasthan. Developers and industry bodies have flagged significant delays in grid connectivity approvals, undermining India's push for a larger renewable energy share.

India added a record 34 GW of power generation capacity in FY25, with 29.5 GW from renewables. The country’s total installed capacity has reached 472.5 GW, with renewables contributing 220 GW. Despite this progress, the potential loss of ISTS waivers poses a major challenge.

Industry groups, including the Wind Independent Power Producers Association, are urging the Ministry of Power to consider a milestone-based waiver for projects that have achieved substantial development but face delays beyond their control.