Gujarat Mandates Targets for Renewable Energy Use

The move is in line with the country’s thrust on measures that will support in integrating renewable energy with the main framework.

According to the notification, these regulations will come into immediate effect across the state.

The earlier rules of 2005 and 2010 have been repealed. As per the new framework, year-wise Renewable Power Purchase Obligation (RPPO) targets have been set, starting at 29.91 per cent of total consumption in 2024-25 and rising to 43.33% in 2029-30.

GERC Secretary Ranjeethkumar J. stated that these targets are divided into categories such as wind, hydro, distributed renewable (like solar projects below 10 MW), and other renewable sources. In addition, an Energy Storage Obligation has been introduced, beginning at 1 per cent of total consumption in 2024-25 and increasing to 3.5 per cent by 2029-30.

Penalty In Case Consumers Fail To Adhere To Guidelines

Consumers failing to meet the mandatory targets will face penalties under the Energy Conservation Act. For example, purchasing less renewable energy than prescribed could attract a penalty of about Rs 3.72 per unit. To ensure compliance, the Gujarat Energy Development Agency (GEDA) has been designated as the State Nodal Agency, responsible for monitoring all data through an online portal and submitting quarterly reports to the Commission.

Furthermore, renewable electricity used for the production of green hydrogen and green ammonia will also count towards compliance, aligning with the Central Government’s Green Fuel Policy. These new rules are expected to strengthen Gujarat’s renewable energy sector and accelerate India’s carbon reduction and clean energy transition goals. The regulations were framed under the guidance of GERC Chairman and former Chief Secretary Anil Mukim.

Changes As Per Central Tariff Policy

Ranjeethkumar said that the draft regulations were finalized after receiving objections and suggestions from stakeholders and a statement of reasons was notified.

Gujarat issued these new rules in line with the provisions of the Central Government’s Tariff Policy and directives of the Central Electricity Regulatory Commission.