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ARTICLE · 02 OCTOBER 2023

Projects, Energy & Infrastructure Monthly Newsletter September 2023

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The Ministry of Power (MoP) on September 1, 2023, notified the Electricity (Amendment) Rules, 2023 to amend the Electricity Rules, 2005 (Amendment Rules).

IndiaEnergy and Natural Resources
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Electricity (Third Amendment) Rules, 2023

  • The Ministry of Power (MoP) on September 1, 2023, notified the Electricity (Amendment) Rules, 2023 to amend the Electricity Rules, 2005 (Amendment Rules). The Amendment Rules aims to deal with the issue involving captive power generating plants in India.
  • Key aspects:
    • Rule 3 of the Electricity Rules, 2005 has been amended and has undergone the following modifications:
      • By way of the Amendment Rules the definition of captive consumers has been broadened.
      • In Sub-Rule (1), in Clause (a), in Sub-Clause (i), for the words 'captive user', the words 'captive users; and' has been substituted.
      • Section 3(b) has been amended to include 'Provided further that the consumption by a subsidiary company as defined in Clause (87) of Section 2 of the Companies Act, 2013 (18 of 2013) or the holding company as defined in Clause (46) of Section 2 of the Companies Act, 2013 (18 of 2013), of a company which is a captive user,

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