The Delhi Electricity Regulatory Commission (DERC) has issued an important clarification aimed at facilitating the faster rollout of electric vehicle (EV) charging infrastructure across the National Capital Territory by aligning its regulations with the Government of India’s PM E-DRIVE Scheme.
In its latest order, DERC addressed a regulatory inconsistency relating to the recovery of upstream electricity infrastructure costs for new EV charging stations. The clarification enables Delhi’s power distribution companies (discoms) to include the entire upstream infrastructure cost in the Demand Note issued to Charge Point Operators (CPOs), wherever applicable under the PM E-DRIVE Scheme.
Why was the clarification needed?
The PM E-DRIVE Scheme requires Charge Point Operators to bear the complete cost of upstream electrical infrastructure in order to become eligible for government support.
However, under the existing DERC regulations governing electricity supply, Demand Notes issued for Low Tension (LT) connections up to 200 kW did not include these upstream infrastructure costs. This created a regulatory mismatch between the central government’s scheme guidelines and the prevailing electricity supply regulations in Delhi.
To remove this inconsistency, DERC exercised its powers under the Delhi Electricity Supply Code and Performance Standards Regulations and issued a “Removal of Difficulty” order, allowing the recovery of the applicable upstream infrastructure cost through the Demand Note.
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What does the order mean?
The clarification provides greater regulatory certainty for electricity distribution companies and Charge Point Operators implementing EV charging projects under the PM E-DRIVE Scheme.
By bringing the state regulations in line with the central government’s policy framework, the order is expected to simplify the process of establishing public EV charging stations while ensuring that eligible operators can comply with the financial requirements prescribed under the scheme.
Key Highlights
- DERC has aligned its regulations with the PM E-DRIVE Scheme.
- Discoms can include upstream infrastructure costs in Demand Notes issued to eligible Charge Point Operators.
- The clarification removes regulatory ambiguity for LT electricity connections up to 200 kW.
- The order is expected to support the expansion of EV charging infrastructure across Delhi.
- The move complements the Government of India’s efforts to accelerate electric mobility and strengthen charging infrastructure nationwide.
Boost for EV Ecosystem
The latest regulatory clarification is expected to improve coordination between electricity distribution companies and EV charging operators while supporting faster implementation of charging infrastructure projects under the PM E-DRIVE Scheme.
With the demand for electric vehicles continuing to grow, streamlined regulatory procedures are expected to play an important role in expanding accessible and reliable charging infrastructure, supporting Delhi’s transition towards cleaner and more sustainable transportation.
