The Ministry of Power, Government of India, has made amendments to the Guidelines for Import/Export (Cross Border) of Electricity 2018 (IECBE Guidelines 2018). These guidelines, initially issued on December 18, 2018, and previously amended on July 3, 2019, have undergone further modifications with respect to Clause 5.2(a) and Clause 8.9.

The updated provisions now allow Indian generating companies and distribution companies to export electricity generated from coal, renewable energy, or hydropower plants to neighboring countries. This export can occur either directly or through trading licensees, following approval from the designated authority.

For electricity generated from coal-based plants, the export is permitted only if the electricity is produced using imported coal, coal acquired through spot e-auctions, coal from commercial mining, or other sources specified by the Government of India. However, this restriction does not apply to collective transactions through power exchanges in India.

In the case of gas-based generating plants, the export of electricity is allowed only if it is generated using imported gas or other sources as specified by the Government of India.

The guidelines also provide that Indian generating stations supplying electricity exclusively to neighboring countries may be permitted to construct dedicated transmission lines connecting to the transmission system of the neighboring country, considering technical and strategic factors. This construction is subject to approval by the designated authority under the provisions of the Electricity Act, 2003, with costs integrated into the contract agreement between the Indian and neighboring entities.

Additionally, the Government of India may allow these generating stations to connect to the Indian grid—either inter-state or intra-state—to facilitate the sale of power within India in cases of sustained non-scheduling of capacity or defaults, including payment delays under the Power Purchase Agreement (PPA). All other provisions of the original guidelines remain unchanged.

Source: SQ