Jharkhand Commission Proposes New Rules to Determine Solar Tariffs

In a significant move to bring more clarity and transparency to renewable energy pricing, the Jharkhand State Electricity Regulatory Commission (JSERC) has issued draft regulations to determine generic tariffs for solar power projects in the state.

The proposed JSERC (Terms and Conditions for Determination of Generation Tariff) Regulations, 2025 are aimed at streamlining the process for setting tariffs for solar photovoltaic (PV) and solar thermal projects, including rooftop solar systems, grid-connected ground-mounted units, and standalone installations.

The draft outlines methodologies for computing tariffs based on capital costs, operational expenditure, plant load factor, depreciation, return on equity, and other financial parameters. It also proposes separate norms for different categories of projects, such as utility-scale solar, rooftop, and off-grid systems.

If finalised, the regulations will apply to all solar power projects commissioned in Jharkhand during the control period defined by JSERC. The move is expected to promote investor confidence and facilitate tariff-based competitive bidding.

JSERC has invited suggestions and objections from stakeholders until August 5, 2025, after which it will finalise the norms.

The initiative aligns with Jharkhand’s broader push toward renewable energy adoption and its contribution to India’s national target of 500 GW non-fossil fuel-based capacity by 2030.