The Supreme Court has directed all Electricity Regulatory Commissions (ERCs) to clear existing regulatory assets within four years and future ones within three years, citing a ₹27,200 crore loss to Delhi DISCOMs due to tariff delays.

Citing electricity as a public good under Article 39, the Court stated that persistent non-recovery amounts to regulatory failure. ERCs must submit time-bound recovery plans and adhere to Rule 23’s Annual Revenue Requirement cap.

The Appellate Tribunal for Electricity will monitor compliance using its enforcement powers under Section 121 of the Electricity Act to ensure efficient tariff fixation and financial accountability.

[BSES Rajdhani Power Ltd. v UOI & Ors.]

The Kerala High Court on Tuesday asked IOCL, HPCL, and BPCL to file counter-affidavits clarifying whether their dealership agreements require petrol pump washrooms to be open to the general public.

While HPCL and BPCL said the agreements don’t mention it, they cited marketing guidelines allowing use by “transiting travellers”, which they claimed includes the general public. 

The Court was hearing a plea against the State’s attempt to convert private outlet washrooms into public toilets.

The interim order against such conversions has been extended by a week.

[Petroleum Traders Welfare and Legal Service Society v State of Kerala]

The Supreme Court dismissed Gujarat Urja Vikas Nigam Limited’s (GUVNL) appeal against an APTEL order allowing wind energy developers to seek case-specific tariff determination despite earlier power purchase agreements (PPAs) with fixed rates.

The Court held that GUVNL, as a state utility, must act as a model litigant and follow central and state policies promoting renewable energy. It noted that GUVNL cannot impose outdated tariff rates based on earlier bids by unrelated firms.

[Gujarat Urja Vikas Nigam Limited v Green Infra Corporate Wind Private Limited and others etc]

The Delhi Legislative Assembly became the first legislature in India to run entirely on solar power after launching a 500-kilowatt rooftop solar plant.

Alongside, the Assembly launched the National e-Vidhan Application (NeVA) for paperless legislative functioning. Minister of Law and Justice Arjun Ram Meghwal inaugurated both initiatives, calling it a model for sustainable and digital governance.

Speaker Vijender Gupta said solarisation will reduce the Assembly’s monthly electricity bill by ₹15 lakh, generating surplus electricity via net metering. A successful trial of NeVA’s digital interface was conducted with MLAs, with full implementation scheduled for the Monsoon Session.

The Supreme Court has directed the Ministry of Power to convene a joint meeting with the Central Electricity Authority and Central Electricity Regulatory Commission to prepare a national roadmap for decarbonising coal-based thermal power plants.

A Bench of Justices PS Narasimha and AS Chandurkar expressed concern over rising pollution in Delhi-NCR and noted that few plants had installed flue-gas desulphurisation (FGD) systems despite regulations. It also flagged a recent notification weakening 2015 emission norms.

The authorities have been asked to file a joint affidavit within four weeks. The matter will be heard next on August 19.

[Ridhima Pandey v Union of India & Ors.]

The Kerala High Court has directed the State Electricity Regulatory Commission to conduct hybrid public hearings, both physical and online, while reviewing the Renewable Energy Regulations.

Hearing a PIL against the move to online-only hearings, the bench of Chief Justice Nitin Jamdar and Justice Basant Balaji said physical hearings must be held in Kozhikode, Palakkad, Ernakulam, and Thiruvananthapuram to ensure wider access.

The Court instructed the Commission to finalise venues, timings, and publicise procedures in advance, while also permitting requests for police assistance to maintain order.

The Court disposed of the PIL after issuing these directions.

The Bombay High Court has ruled that a mere change in tariff classification by the electricity board doesn't amount to unauthorised use under Section 126 of the Electricity Act, 2003.

The Court ruled that unless there is proof of dishonest abstraction, diversion, or tampering, a higher tariff classification alone doesn't amount to unauthorised use.

The High Court held that the change in activity from manufacturing of mattresses to Aqua Purified Water Cans does not change the use of electricity, and cannot be termed as unauthorised use of electricity.

The judgment ensures that penalties cannot be levied arbitrarily and safeguards consumers against misclassification without evidence of misuse.

(Maharashtra State Electricity Distribution Co. Ltd. & Anr. v. Azhar Ahmed Qaisar)

The Supreme Court has held that time-barred claims by MSME suppliers cannot be enforced through arbitration but may still be settled through conciliation under the MSMED Act.

The Court explained that while arbitration is adjudicatory and subject to the Limitation Act, conciliation is a voluntary process where limitation rules don’t apply.

The ruling came in a case where transformer supplier Sonali Power’s ₹2.7 crore claim was rejected by the Facilitation Council as time-barred.

The Court clarified that MSMEs can recover such dues through conciliation under Section 18(2) of the Act, despite limitation hurdles in arbitration.

The Supreme Court has held that tariff regulations set by the Central Electricity Regulatory Commission (CERC) cannot override a state’s contractual entitlement to free power under a Power Purchase Agreement (PPA).

In a dispute between JSW Hydro Energy and Himachal Pradesh, the Court reinstated the state's contractual right to receive 18% free power, overturning a lower order that had reduced it to 13% citing CERC tariff guidelines.

The Court clarified that regulatory frameworks under the Electricity Act cannot dilute binding PPA terms agreed by the parties. (State of Himachal Pradesh v. JSW Hydro Power)

The Supreme Court has held that State Electricity Regulatory Commissions can entertain petitions filed by non-consumers if the issue involves public interest.

The ruling came while dismissing Torrent Power’s appeal against the UP Electricity Regulatory Commission’s decision to examine a 2012 petition filed by a private individual seeking an investigation into a distribution franchisee agreement in Agra.

The Court held that powers under Sections 128 and 129 of the Electricity Act, 2003 are inquisitorial and regulatory, not purely adjudicatory. 

The court clarified that anyone can initiate regulatory scrutiny where public interest is at stake, even without seeking private relief.

India’s National Stock Exchange (NSE) will begin electricity futures trading on July 14, 2025, becoming the country’s second exchange to introduce such contracts after MCX.

The initiative received regulatory clearance and is aimed at improving price risk management for the power sector. The futures will be linked to day-ahead market prices published by the Power System Operation Corporation (POSOCO).

NSE expects the contracts to enhance transparency, liquidity, and efficiency in electricity trading.

This move aligns with India’s ongoing power sector reforms and offers a hedging tool for producers, DISCOMs, and market participants.

The Karnataka High Court has issued notice to the state government and other authorities on a PIL challenging the compulsory installation of smart prepaid electricity meters even for existing consumers under KERC regulations. 

The petition, filed by senior advocate Lakshmy Iyengar, contends that the rollout is being forced without public consultation, causing a financial burden on consumers and allegedly violating their rights, and that all consumers would have to shift to smart meters. 

The petitioner argues that the implementation lacks transparency and accountability. A division bench sought responses from the government, BESCOM, and other petitioners. 

The matter is expected to be heard further after detailed responses are filed.

The Central Electricity Regulatory Commission (CERC) has approved tariffs for the Solar Energy Corporation of India's (SECI) 600 MW inter-state transmission system (ISTS)-connected wind-solar hybrid projects under Tranche IX. 

Tariffs of ₹3.25/kWh have been fixed for projects awarded at that price, and ₹3.26/kWh for the remaining capacity. 

While SECI sought a ₹0.07/kWh trading margin, CERC declined it, stating that such details will be governed by Power Sale Agreements between SECI and distribution companies. 

The Commission also resolved issues related to the adoption of the tariff, trading margin, and payment security mechanism.

The Kerala State Electricity Regulatory Commission (KSERC) has released a draft regulation specifying the useful life for various renewable energy systems. 

The proposed durations are: 12 years for standalone Battery Energy Storage Systems (BESS), 25 years for solar PV (including floating and thermal), wind, biogas, biomass gasifier, and non-fossil fuel cogeneration projects, 20 years for Municipal Solid Waste (MSW) and Refuse Derived Fuel (RDF) power projects, and 40 years for hydroelectric plants.  

The draft also proposed a streamlined registration process. Eligible consumers must apply online within 45 days of technical feasibility approval. Licensees will verify documents within three working days and complete any required changes within seven days.