Gujarat Moves to Extend Green Energy Banking Charges Till March 2026

In order to boost the growth of renewable energy in the state, the Gujarat Electricity Regulatory Commission (GERC) has moved to extend the existing green energy banking charges in the state until March 31, 2026. This aims to give renewable power developers and consumers more clarity as the regulator works on a long-term framework.

For now, the banking charge will stay at ₹1.50 per unit — the same rate that has been in place for the past few years. This levy, which was supposed to lapse in September 2024, had already been pushed forward once, to September 2025. Now, the Commission has proposed keeping it in force for another six months.

Banking Charges 

Banking charges are an important tool for industries and businesses that draw renewable energy through open access. They determine how much it costs to “bank” surplus power with the grid for later use, and therefore play a big role in making green energy affordable and predictable.

GERC explained that the extension was necessary because its ongoing study to design a new and more scientific system for banking charges is still not complete. The work involves detailed data gathering and technical analysis, and the Commission said it needed more time to ensure that the new framework is robust and fair to all stakeholders.

New Banking Charges From 2026

Once the study is done, new banking charges will be notified and made applicable from April 1, 2026. Until then, the current rate will continue, providing stability to open access consumers — especially commercial and industrial users — who depend heavily on renewable power to manage their costs and meet sustainability targets.

The draft amendment, issued under the Electricity Act, 2003, will come into effect once it is formally published in the state’s Official Gazette.