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Polity & Governance
Pradeep Kumar

04/10/21 10:05 AM IST

Electricity Rules 2021

In news

The Union Ministry of Power has promulgated the Electricity (Transmission System Planning, Development and Recovery of Inter-State Transmission Charges) Rules 2021.

Details
  • This paves the way for overhauling of transmission system planning, towards giving power sector utilities easier access to the electricity transmission network across the country.
  • The rules underpin a system of transmission access which is termed as a General Network Access in the inter-state transmission system.
  • This provides flexibility to the States as well as the generating stations to acquire, hold and transfer transmission capacity as per their requirements.
Significance

Thus, the rules will bring in rationality, responsibility and fairness in the process of transmission planning as well as its costs.

Changes
  • In a major change from the present system of taking transmission access, power plants will not have to specify their target beneficiaries.
  • The rules will also empower state power distribution and transmission companies to determine their transmission requirements and build them.
  • Also, states will be able to purchase electricity from short term and medium term contracts and optimize their power purchase costs.
  • Apart from introducing GNA, the rules also specify clear roles of various agencies involved in the transmission planning process.
Source: PIB

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