The Haryana Electricity Regulatory Commission (HERC) has ruled in favor of Jindal Stainless Limited (JSL) in a major case involving renewable energy procurement through open access. In its order dated June 23, 2026, the commission directed the Haryana state power utilities to grant the necessary regulatory clearance for the company’s renewable power supply after completing the required operational formalities.
The dispute began after JSL approached HERC when the State Transmission Utility, Haryana Vidyut Prasaran Nigam Limited (HVPNL), and the Grid Co-ordination Committee refused to issue a full No Objection Certificate (NOC). The company had sought approval to source 100 MW of round-the-clock (RTC) renewable power from its captive interstate-connected wind-solar hybrid projects located in Gujarat and Madhya Pradesh. The renewable power was intended to meet the electricity needs of JSL’s manufacturing facility in Hisar, Haryana.
The state utilities opposed the request during the peak summer months of June, July, and August. They argued that Haryana experiences heavy electricity demand during this period because of increased cooling requirements and agricultural consumption. According to the utilities, the state’s peak demand could reach around 16,500 MW, creating transmission constraints. They also stated that allowing JSL’s long-term power transfer could reduce the state’s flexibility to import emergency power through Temporary General Network Access (T-GNA) and increase Deviation Settlement Mechanism (DSM) charges. Based on these concerns, the utilities granted only partial approval for off-peak periods.
JSL challenged the decision before HERC, arguing that the partial denial violated the Electricity Act, 2003, and the principles of non-discriminatory open access. The company claimed that the decision was intended to force it to continue buying expensive electricity from state distribution companies during high-demand periods. JSL explained that its renewable energy procurement would simply replace its existing grid power consumption and would not increase the overall demand on the state’s electricity network.
To address concerns over grid reliability, JSL made several voluntary commitments. The company agreed to accept complete curtailment of up to 100 MW of renewable power during severe grid constraints without seeking any compensation from the state. It also agreed to bear all costs and risks related to DSM charges. According to JSL, shifting to captive renewable energy would reduce the burden on Haryana’s discoms and help them avoid costly short-term power purchases, resulting in estimated annual savings of ₹65 crore to ₹100 crore.
After examining the matter, HERC ruled that the utilities’ blanket restriction during the summer months was not legally justified. The commission observed that long-term open access enjoys higher priority under national regulations than temporary arrangements such as T-GNA. It also noted that denying open access to renewable energy projects could discourage private investment and hinder India’s target of achieving 500 GW of non-fossil fuel capacity by 2030.
HERC directed HVPNL to develop the required operational procedures, undertakings, and mechanisms for implementing JSL’s voluntary curtailment and DSM commitments within two weeks. After these arrangements are completed, the utility has been instructed to issue the full NOC, enabling JSL to procure the approved 100 MW of renewable energy for its Haryana facility.
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