Navigating Renewable Energy Policies in India: What MDs and CEOs Must Know

For industrial and commercial businesses in India, the shift to renewable energy is no longer a matter of if, but how. Solar, wind, and hybrid projects can unlock significant energy cost savings, often in the range of 25%-50% while supporting ESG goals.

But there’s a catch: India’s renewable energy policies are complex, and navigating state-wise regulations, compliance frameworks, and approval processes can make or break a project’s success. For CFOs, plant heads, and sustainability leads, understanding this policy landscape is critical for making informed decisions, avoiding costly delays, and ensuring long-term financial viability.

Here’s what you must know, and how Winsol helps you stay ahead.

The Policy Landscape: A Moving Target

India’s renewable energy framework is a mix of central and state-level policies. Each state has its own approach to:

• Open Access charges, wheeling, and banking policies

• Cross-Subsidy Surcharge (CSS) exemptions

• Grid connectivity standards and metering protocols

• Incentives and tariff structures for solar and wind projects

These regulations directly affect the feasibility of Open Access, Group Captive, CapEx, and OpEx models, the structures Winsol helps clients evaluate and adopt.

For example:

• In Telangana, recent changes to banking rules have impacted solar project payback periods.

• In Tamil Nadu, strong wind corridors offer huge generation potential, but compliance with state SLDC protocols is critical.

• Maharashtra allows open access solar but enforces CSS and additional surcharges, making the right financial model essential.

Understanding these nuances upfront is the difference between a project that saves you 30%+ on energy bills and one that gets stuck in approvals or loses financial viability.

Key Policies Every Decision-Maker Must Understand

✅ Open Access Rules

These allow consumers (1 MW+) to buy power directly from a renewable generator. Open Access charges vary by state and include wheeling, transmission, and banking fees. Winsol helps assess if Open Access is viable for your facility based on your location, load profile, and state-specific charges.

✅ Group Captive Model Compliance

This model is highly attractive for mid- to large-scale consumers, offering significant savings by bypassing cross-subsidy charges. However, it comes with strict conditions:

• 26% equity ownership in the project company

• 51% consumption of generated power by the consumer

  Winsol helps ensure your Group Captive structure is compliant-avoiding potential loss of benefits or penalties.

✅ SLDC and DISCOM Approvals

Securing approvals from the State Load Dispatch Centre (SLDC) and the DISCOM is a critical step that varies across states. While Winsol doesn’t handle approvals directly, we guide clients on the process, required documentation, and timelines, ensuring you are prepared and aligned with the authorities’ expectations.

✅ Incentives & Policy Benefits

Central and state governments offer various incentives, like Accelerated Depreciation (AD) benefits for CapEx projects and waivers on CSS and additional surcharges under specific models. Winsol helps clients evaluate these benefits as part of their financial and regulatory strategy.

Risks to Watch (and How to Manage Them)

Risk 1: Regulatory Shifts

Policy changes can happen without much notice, like amendments to banking periods or sudden adjustments in surcharge waivers. Winsol tracks these changes continuously and provides early warnings, helping you adapt your strategy and mitigate exposure.

Risk 2: Multi-Stakeholder Complexity

Renewable projects involve multiple parties, EPCs, vendors, financiers, regulators. Winsol serves as your strategic advisor, ensuring alignment across stakeholders and helping you stay on top of requirements, without taking on execution roles.

Risk 3: Cross-State Variability

Each state’s policy framework is unique. A model that works in Telangana may not work in Karnataka. Winsol’s state-specific insights help you select the right financial and technical approach for each location.

Why Partner with Winsol?

At Winsol, we specialize in helping industrial and commercial clients navigate India’s renewable energy policies with confidence. Our team brings:

• 20+ years of regulatory and technical expertise

• Proven experience across 12+ Indian states

• A track record of helping clients unlock 25%-50% energy cost savings

• Insights that keep your projects compliant, risk-mitigated, and future-ready

We don’t just help you design a system, we help you build a bankable, compliant, and profitable renewable energy portfolio.

Ready to de-risk your clean energy investment?

Book a free consultation with Winsol Green Solutions today.