The government has also granted complete waiver of ISTS charges for a period of 25 years from the date of commissioning of the project, for green hydrogen and green ammonia production units, using renewable energy (commissioned after March 8, 2019), pumped storage system or battery storage systems or any hybrid combination of these technologies.

“The projects commissioned on or before December 31, 2030 shall be eligible for this waiver. The projects after December 31, 2030 will attract graded transmission charges thereafter. The decision effectively extends the applicability of waiver date from 30 June 2025 to 31 December 2030,” it added.

To promote development of Pump Storage Plants (PSP), the criteria for availing the complete waiver of ISTS charges for PSP projects has now been linked to the date of award of the project rather than commissioning of the project. This will be applicable in cases where construction work is awarded on or before June 30, 2025.

The ISTS charges on drawl of energy from energy storage projects, which was earlier granted to the project, will be available for each individual user of such project. The individual user will get this benefit, if at least 51% of the energy utilized by the user for charging the storage system is renewable energy. Earlier the limit of 51% was at project level.

“This change has been proposed in view of the fact that in future the capacity of such storage projects will be shared by many discoms / other users and only some of them may meet this criteria of 51% individually while the same may not be met in an aggregate manner at storage project level,” the release noted.

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ISTS charges waiver

INOX Wind, JSW Energy rally up to 9% on govt's ISTS charge waiver