Covering 8 to 14 August 2026. One order this week, with direct cost consequences for projects chasing connectivity milestones. Every item is checked against the issuing authority's own document.
1. CERC finalises procedure for Milestone Extension Charges on connectivity milestones
CERC · 14 August 2026 (Petition 5/SM/2026)
Following the draft procedure of 15 April 2026 (see the 17 April edition), comments from 42 stakeholders and a public hearing, CERC finalised the procedure for Milestone Extension Charges (MEC) for extra time to meet General Network Access (GNA) connectivity milestones. It takes effect from the date of the order and relaxes Regulations 11A, 11B and 24.6. The base rate for financial closure is Rs 1,000/MW/day, down from Rs 1,500 in the draft. Land documents cost Rs 1,000/MW/day in the first month, Rs 1,100 in the second and Rs 1,200 in the third, for a maximum of three months. Financial closure costs Rs 1,000/MW/day for three months, then Rs 1,100, Rs 1,200 and Rs 1,300, for a maximum of six months.
Commissioning extensions cost Rs 3,000/MW/day for six months, Rs 3,300, Rs 3,600 and Rs 3,900 in months seven to nine, and Rs 6,000/MW/day in months ten to twelve, charged on capacity not yet commissioned, for a maximum of twelve months. To qualify, a project needs documents for at least 20% of the land 15 working days before a land or financial closure deadline; for a commissioning extension it needs land documents for 75% under the land bank guarantee route or 50% under the letter of award or power purchase agreement route, plus contracts for major equipment and civil and electrical work. MEC is paid 15 days in advance, and failure to pay leads to revocation; unused advance is refunded without interest. Half of the land and financial closure charges are refunded if the project commissions on time, and the rest reduces transmission charges. The firm connectivity start date does not change and mismatch charges still apply.
Why it matters for wind: Projects at risk of losing connectivity can now buy a defined amount of extra time at rates fixed in advance, which lenders can model. The relief is limited: the start date of connectivity does not move, mismatch charges still apply, and late commissioning costs up to Rs 6,000/MW/day.