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ALERT: Limited-Time Opportunity for Offsite Solar in India

After much ambiguity with respect to incentives for Indian offsite solar in its 2014 policy, the Haryana Electricity Regulatory Commission (HERC) has clarified these in a new announcement of terms and conditions that will be beneficial for commercial and industrial (C&I) organizations looking to procure renewable energy to address Indian electricity usage and emissions.

Although the state of Haryana (home to cities such as Chandigarh, Mandisar, Faridabad and Sonipat) has been a relatively closed market for renewable energy to date, new incentives will enable C&I buyers to access cost-competitive, Indian offsite solar energy supply, through the Open Access mechanism. Consumers with a demand of 1 MW and above per site will be eligible for these opportunities.

Solar PPAs in Haryana can provide several benefits for eligible customers:

  • Significant cost savings in the range of 10-30% compared to utility tariff
  • Price certainty due to fixed price
  • Reduction of carbon emissions, achievement of sustainability goals at scale and enhanced reputation
  • Avoidance of transmission, distribution and other non-commodity surcharges

Like previous incentives we have seen for offsite renewable energy in India, this opportunity will be available for a limited time. Incentives will be applicable until installed solar capacity in the state hits 500 MW. After this threshold is reached, the policy will be re-evaluated by HERC. Although the limit of 500 MW is a relatively large capacity, we have seen corporate purchases of renewables in other Indian states of around 50-60 MW for an individual company. If the same happens in Haryana, that capacity may be consumed relatively quickly

It is uncertain how long it will take to reach this capacity, but, due to the cap, we would suggest that interested customers should act quickly before the opportunity expires.

C&I buyers with operations in Haryana are advised to evaluate their eligibility for, and interest in, open access and ensure their readiness to implement the options once available.

For questions and more information on your eligibility for this opportunity, please reach out to James Lewis ( or Amit Sharma (