Archive · 28 Aug 2026
CERC Framework Gives Malwa-Nimar Renewable Projects More Time
A new CERC rule gives some delayed renewable-energy projects extra time to keep their place on the electricity grid.
The projects must pay a daily fee for the delay.
They also have to prove that real work has begun.
This can include showing documents for part of the land they need.
The rule may help solar and wind projects in the Malwa-Nimar region of Madhya Pradesh.
These projects can face delays with land, permits, equipment, money, or transmission systems.
The rule also prevents unfinished projects from blocking grid capacity forever.
If a project still misses its goals after the extra time, its connection may be cancelled.
The Central Electricity Regulatory Commission allows eligible renewable projects to retain grid connectivity by paying compensation for delays.
Compensation is Rs 1,000 per MW per day for land or financial-closure delays and Rs 3,000 per MW per day for COD delays.
Developers must show tangible progress, including land documents covering at least 20% of required land for some extensions.
COD extensions require land documents covering 50% to 75% of required land, depending on project category.
Projects that miss milestones after extensions may lose connectivity and forfeit associated bank guarantees.
- Who
- The Central Electricity Regulatory Commission and eligible renewable-energy project developers, particularly in Madhya Pradesh.
- What
- A framework allows qualifying delayed renewable projects to retain grid connectivity by paying prescribed compensation and demonstrating progress.
- Where
- The framework is relevant to renewable projects in Madhya Pradesh, especially the Malwa-Nimar region and districts including Agar-Malwa, Shajapur, Neemuch, Mandsaur, Dhar, Khargone, Barwani, Khandwa and Ujjain.
- Why
- To give genuine projects additional time to overcome execution delays while protecting limited grid connectivity, transmission capacity and evacuation infrastructure.
- Regulator
- Central Electricity Regulatory Commission (CERC)
- Land and financial-closure compensation
- Rs 1,000 per MW per day
- COD delay compensation
- Rs 3,000 per MW per day
- Land evidence for land or financial-closure extensions
- Documents covering at least 20% of required land
- Land evidence for COD extensions
- Documents covering 50% to 75% of required land, depending on project category
- Potential consequence after an extension
- Cancellation of grid connectivity and forfeiture of associated bank guarantees
- Transmission expansion
- New 220 kV and 400 kV infrastructure is being developed in the region to evacuate power from upcoming solar and wind projects