CEA and MoP release procedure for captive status verification of power projects

The Central Electricity Authority (CEA) and the Ministry of Power (MoP) have introduced a procedure for verifying the captive status of captive power projects (CGP) and their users across multiple states. This applies to all projects and consumers seeking CGP and associated captive user status. Verification will be conducted annually, with the status issued within two months of application receipt. Applicants must notify the regional load dispatch centre (RLDC), state load dispatch centre (SLDC), and distribution licensees within fifteen days of submission. The verifying authority may request clarifications on the submitted data.

For captive status, single users must consume at least 51 per cent of the net electricity generated annually, while group captive users, excluding cooperative societies, must meet the same threshold. Cooperative societies must collectively consume 51 per cent of the generated electricity. Special purpose vehicles can own, operate, and maintain generating stations but are restricted from consuming CGP generated power. Additionally, captive users’ consumption must include technical losses in the electrical network and energy storage system (ESS). Manufacturers operating CGPs must report monthly generation and in-house consumption figures to distribution licensees for authentication.

Verification will be based on the generating unit’s interface meter, which must have real-time communication with SLDCs or RLDCs. Each ESS unit must also have a separate interface meter with real-time communication capabilities. If a CGP is integral to a manufacturing unit, it must have a dedicated interface meter. CGPs connected at a pooling substation with a single interface must apply separately for verification. The verifying authority will assess total generation and metered data at the pooling station to confirm compliance with captive status requirements.