Andhra Pradesh Proposes New Hybrid Project Norms, CUF Threshold and Open Access Charge Reforms
Andhra Pradesh Electricity Regulatory Commission has proposed amendments to its Green Energy Open Access Regulations to introduce a formal definition for renewable hybrid projects, set a minimum 40 percent CUF for wind-solar hybrids, revise scheduling norms, mandate interface metering, and rationalise wheeling charge exemptions.
March 03, 2026. By Mrinmoy Dey
The draft amendment seeks to modify the Andhra Pradesh Electricity Regulatory Commission (Green Energy Open Access, Charges, and Banking) Regulation, 2024, with the objective of providing regulatory clarity on the definition, scheduling, metering, and settlement mechanisms for hybrid renewable projects.
As per the proposal, APERC has introduced a formal definition for ‘Renewable Hybrid Energy Project’, covering projects that generate electricity from a combination of renewable sources connected at the same or different interconnection points. The draft specifies that at least one source must have a minimum capacity of 25 percent of the other, and that each 1 MW of contracted wind-solar hybrid capacity must achieve a minimum capacity utilisation factor (CUF) of 40 percent.
The amendment also clarifies the treatment of non-co-located hybrid projects, stating that such projects will be considered as a single generating unit for scheduling and settlement purposes. Individual sources will be scheduled separately, while the combined schedule must not exceed the approved hybrid capacity at any time. Any excess generation will be treated as inadvertent energy.
Further, APERC has proposed mandatory installation of interface meters at the respective interconnection points for each source in non-co-located hybrid projects, to ensure accurate energy accounting and deviation management.
On the charges front, the draft provides for exemption from distribution and wheeling charges for eligible clean energy and renewable manufacturing projects availing open access, subject to conditions specified under state government orders. However, in cases where hybrid project components are connected at different voltage levels, applicable wheeling charges and loss allocations will be levied separately, it said.
The Commission noted that the proposed changes are aligned with recent amendments to tariff regulations and are intended to facilitate greater participation in green energy open access while strengthening grid discipline. The regulation will come into force upon its publication in the Andhra Pradesh Gazette.
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