Open Access

What is open access

Open access electricity allows eligible consumers, including those with loads as low as 100 kW (reduced from the earlier 1 MW threshold), to buy renewable energy directly from suppliers of their choice, bypassing local utilities under the Electricity (Promoting Renewable Energy Through Green Energy Open Access) Rules, 2022. This is done using the existing transmission and distribution network after paying applicable charges. (This aligns with the open access mechanism using transmission and distribution infrastructure with applicable wheeling, banking, and cross-subsidy surcharge charges (some surcharges capped or exempted for green energy consumers) as per the rules.) Open access promotes competition, offers flexibility, and enables consumers to choose cleaner or more cost-effective electricity.

In simple terms, open access in electricity means the freedom to select your electricity supplier and pay for power from that supplier rather than being tied to the local utility.

Open access promotes competition, offers flexibility, and enables consumers to choose cleaner or more cost-effective electricity. In simple terms, open access in electricity means the freedom to select your electricity supplier and pay for power from that supplier rather than being tied to the local utility.

Disclaimer: The information provided is based on sources available as of 18th August 2025, including the Green Open Access Portal and related government notifications. Regulations and policies are subject to change. For the most accurate and up-to-date information, please refer to official notifications from relevant regulatory authorities such as the Central Electricity Regulatory Commission (CERC), Ministry of Power, or respective State Electricity Regulatory Commissions (SERCs).

Importance of open access

The importance of open access in the power sector includes:

• Reducing electricity costs through competitive supplier choices
• Encouraging the use of renewable energy sources to meet sustainability targets
• Empowering consumers with greater control over energy procurement
• Supporting grid stability and efficient energy distribution
• Helping industries and distribution companies meet Renewable Purchase Obligations (RPO)
• Promoting a transparent and competitive electricity market

Uses of open access

Common uses of open access electricity include:

• Procuring cost-effective electricity for industrial and commercial consumers
• Accessing renewable energy such as solar and wind power directly
• Meeting regulatory renewable energy mandates (RPOs)
• Enabling flexible power purchase agreements for short, medium, or long terms
• Facilitating inter-state and intra-state electricity trading through regulatory bodies

Examples of open access

Some practical examples of open access electricity are:

• Factories buying solar power from offsite solar farms via the grid
• Businesses signing power purchase agreements (PPAs) with wind energy producers
• Large consumers purchasing electricity from power exchanges
• Industries using open access to meet their Renewable Purchase Obligations
• Commercial buildings sourcing green power through bilateral agreements
• Small businesses accessing open access under reduced thresholds (e.g., 100 kW)