The Central Electricity Regulatory Commission, an India-based power sector regulator, has issued an order on a change in law claim linked to GST revisions. The petition relates to a 300 MW solar power generating system developed by Thar Surya 1 Private Limited in Rajasthan under a power purchase agreement with Solar Energy Corporation of India Limited. The Commission examined GST notifications issued on 30 September 2021 that changed the tax structure for composite supply contracts. The applicable GST on goods increased from 5% to 12%, resulting in an effective rate change from 8.9% to 13.8%. The order records that the bid was submitted in June 2020 and the project was fully commissioned in November 2022. The Commission ruled that relief is admissible subject to document verification and correlation of supplies and payments. It also allowed carrying costs from the date of actual payment until the date of the order, subject to applicable interest provisions.
CERC issues order on GST impact for SECI-contracted solar project
An order concerning GST rate revisions affecting a 300 MW solar power generating system developed by Thar Surya 1 Private Limited has been issued by the CERC.
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