Three petitions were filed before the Gujarat Electricity Regulatory Commission (GERC) by different project developers seeking relief in commissioning timelines and protection against bank guarantee encashment due to unforeseen delays in the execution of solar power projects. These cases highlight the practical challenges faced by developers while implementing captive solar power projects under the Gujarat Renewable Energy Policy.
The first case involved a 0.9 MW solar project by S R Synthetics. The petitioner requested a three-month extension to commission the evacuation infrastructure, citing delay in final GEDA registration and monsoon-related disruptions. The petitioner explained that civil and electrical works were already underway and substantiated their claim with progress photos and approvals from relevant agencies. They also prayed for a stay on the invocation of the ₹20 lakh bank guarantee during the extended period. GERC reviewed the documentation and found that the developer had taken genuine steps for compliance. Hence, the Commission granted the requested extension and directed GETCO and DGVCL not to encash the bank guarantee.
In the second petition, M B Industries, a partnership firm developing a 2.7 MW solar project, approached the Commission after facing delays due to land acquisition challenges and non-availability of the final GEDA approval in time. The firm had already paid supervision charges and initiated groundwork. However, the transmission line and metering systems were delayed due to disputes regarding right-of-way and severe monsoon flooding. M B Industries submitted a progress report and provided details about equipment procurement, site preparation, and banking arrangement clarifications that impacted capacity decisions. They requested a four-month extension. GERC reviewed the facts and found merit in the request. The Commission allowed the extension and ordered DGVCL not to invoke the bank guarantee during the revised period.
The third and largest petition was filed by Armo Synthetics Private Limited for a 2.41 MW solar power project. The company sought a three-month extension for commissioning the evacuation line and metering system. The project had faced several hindrances, including a hike in solar module prices due to anti-dumping duties, revised banking regulations capping at 30%, land acquisition delays, and continuous heavy rains causing site flooding. The petitioner had already completed about 90% of the civil works, acquired most components, and received ABT meter numbers from SLDC and DGVCL. They requested a temporary stay on encashing their ₹20 lakh bank guarantee and pledged to update its validity as per the extended timeline. The Commission, after examining the technical feasibility reports, project progress updates, and reasons for delays, acknowledged that the setbacks were beyond the petitioner’s control. Accordingly, GERC granted the three-month extension and directed DGVCL and GETCO not to encash the bank guarantee during the extended period.
All three cases reaffirmed that the GERC is willing to consider genuine project difficulties under the regulatory framework when developers substantiate their delays with documentary evidence, particularly for projects impacted by policy changes, extreme weather, and unavoidable field-level disruptions.
