The Ministry of Power, Government of India, has introduced new operational guidelines for designating companies as Renewable Energy Implementing Agencies (REIAs). These guidelines aim to streamline the process of appointing eligible companies to facilitate renewable energy development in the country. REIAs play a crucial role in implementing renewable energy projects through tariff-based competitive bidding processes, acting as intermediary procurers between generators and consumers.
To be eligible for designation as an REIA, a company must be registered under the Companies Act, 2013, and hold a valid Category-I electricity trading license issued by the Central Electricity Regulatory Commission (CERC). The company must also have a net worth exceeding ₹500 crore and a long-term credit rating of ‘A’ or above. Additionally, the company’s Board of Directors must approve the REIA designation.
The designated REIA must follow the procurement guidelines laid out by the Central Government, using e-bidding platforms prescribed by CERC. REIAs must ensure there is no conflict of interest, and subsidiaries or group companies of the REIA are not allowed to participate in the bidding process. The designation of a company as an REIA will remain valid for five years, but the Central Government reserves the right to terminate the designation if the REIA fails to fulfill its responsibilities.
The guidelines also specify that any changes in ownership, merger, or demerger of the designated REIA company must continue to meet the eligibility criteria. Companies that have already been designated as REIAs, such as SECI, NTPC Ltd, NHPC Ltd, and SJVN Ltd, will continue to function as per previous orders issued by the Central Government.
The introduction of these guidelines marks a significant step in formalizing and strengthening the institutional structure required for scaling up renewable energy deployment in India. The guidelines will help to ensure a transparent and efficient process for appointing REIAs, which will in turn facilitate the development of renewable energy projects in the country. The Ministry of Power reserves the right to make any clarifications or modifications to the guidelines, in consultation with the Ministry of New and Renewable Energy. Overall, the new guidelines are expected to play a crucial role in achieving India’s renewable energy targets and promoting sustainable development.