HERC Cancels Connectivity For 50 MW Solar Project Due To Captive Status Dispute

Representational image. Credit: Canva

AVAADA Green HN Project Pvt. Ltd. filed a petition with the Haryana Electricity Regulatory Commission (HERC) challenging the cancellation of in-principle feasibility and final connectivity approvals for its 50 MW solar power project at the 132/33 kV Adampur substation in Hisar, Haryana. The petitioner argued that the cancellation by Haryana Vidyut Prasaran Nigam Ltd. (HVPNL) and the insistence by Dakshin Haryana Bijli Vitran Nigam Ltd. (DHBVNL) on submitting captive status documents were arbitrary and contrary to the Electricity Act, 2003, and Electricity Rules, 2005.

The petitioner had applied in 2018 for connectivity under the captive model and submitted the necessary undertaking in 2019. In-principle feasibility was granted in May 2019, and final connectivity in September 2021. However, AVAADA later sought to sell power to Haryana Discoms at a cost-plus tariff. When this proposal was rejected in 2022, the petitioner reverted to the captive model and requested the continuation of connectivity accordingly.

HVPNL canceled final connectivity in March 2024, citing non-fulfillment of conditions tied to power sale agreements. It issued a final notice in November 2024 to submit documents proving captive status. Despite further communication from AVAADA in December 2024 requesting more time, HVPNL canceled the in-principle feasibility in March 2025, stating prolonged non-compliance.

The petitioner argued that the determination of captive status is only required after commissioning, as per the Electricity Rules, and not at the connectivity stage. It also claimed that it never applied under the Haryana Solar Policy and hence should not be bound by HAREDA guidelines. However, HVPNL produced documentation showing AVAADA’s application to HAREDA under the Solar Policy, thereby negating this claim.

The Commission examined whether the connectivity procedure and Solar Policy were applicable, and whether conditions for verifying captive status at the connectivity stage violated the Act and Rules. It upheld the mandatory nature of the Commission-approved connectivity procedure and held that the Solar Policy, along with HAREDA’s guidelines, applied to the project.

Ultimately, the Commission found that AVAADA was in breach of the terms and conditions linked to connectivity, including shareholding requirements and procedural compliance under the Solar Policy. It ruled that the cancellation of both final connectivity and in-principle feasibility by HVPNL was lawful and based on valid grounds. The petition was dismissed.

 

  • Related Posts

    Philippine National Bank Backs PHP 6.22 Billion Solar And Battery Storage Project In Iloilo

    Philippine National Bank (PNB) is supporting a 6.22 billion peso co-financing package for a major clean energy project in Barotac Viejo, Iloilo, Philippines. Developed by Singapore-based Levanta Renewables, the project…

    SEPCOIII Begins Full Commercial Operation Of Saudi Red Sea Utility Project

    Chinese engineering company SEPCOIII has achieved full commercial operation of the Saudi Red Sea Utility Infrastructure Project, marking a major milestone in the development of renewable-powered tourism infrastructure. The project…

    Have You Seen?

    Asia Steps In to Fill Diesel Supply Gap in Africa as Middle East Exports Crash

    • August 31, 2026
    Asia Steps In to Fill Diesel Supply Gap in Africa as Middle East Exports Crash

    Iran Dismisses Trump Claim of Kharg Attack as Hostilities Return

    • August 31, 2026
    Iran Dismisses Trump Claim of Kharg Attack as Hostilities Return

    China Coking Coal Prices Set for Record 46% Monthly Surge

    • August 31, 2026
    China Coking Coal Prices Set for Record 46% Monthly Surge

    Europe Gas Prices Jump 5% to Highest Level Since 2023

    • August 31, 2026
    Europe Gas Prices Jump 5% to Highest Level Since 2023

    Trump Says Venezuelan Oil Will Refill U.S. Strategic Petroleum Reserve

    • August 31, 2026
    Trump Says Venezuelan Oil Will Refill U.S. Strategic Petroleum Reserve

    Goldman Sachs Sees Diesel Refining Margins Soaring to $63 a Barrel

    • August 31, 2026
    Goldman Sachs Sees Diesel Refining Margins Soaring to $63 a Barrel

    Asian Refiners Turn to Argentina as Iran War Disrupts Oil Supply

    • August 31, 2026
    Asian Refiners Turn to Argentina as Iran War Disrupts Oil Supply

    Lithium Miners Cash In as Battery Storage Demand Surges

    • August 31, 2026
    Lithium Miners Cash In as Battery Storage Demand Surges

    Iran Says Supertanker Hit by Mines in Strait of Hormuz

    • August 31, 2026
    Iran Says Supertanker Hit by Mines in Strait of Hormuz

    China’s LNG Imports Set to Drop 18% in August as Prices Soar

    • August 31, 2026
    China’s LNG Imports Set to Drop 18% in August as Prices Soar