Ministry of Power

Publication of Notification for revising the capital expenditure u/s 8 (1) of the Electricity Act, 2003

Issue Date: 01 August 2025 Published: 04 August 2025

Gazette ID: CG-DL-E-04082025-265195 Download PDF

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Core Purpose

The Central Government mandates that schemes for setting up hydro generating stations with an estimated capital expenditure exceeding rupees three thousand crores shall require the concurrence of the Central Electricity Authority, superseding a previous notification.

Detailed Summary

The Ministry of Power, via Notification S.O. 3561(E) dated 1st August, 2025, has issued a directive under the powers conferred by sub-section (1) of section 8 of the Electricity Act, 2003. This notification supersedes the Government of India's previous notification S.O. 550(E), dated 18th April, 2006, from the Ministry of Power, with the exception of things done or omitted before this supersession. The core decision requires that schemes for establishing hydro generating stations, involving an estimated capital expenditure exceeding rupees three thousand crores, must obtain the concurrence of the Central Electricity Authority. However, off-stream closed-loop pumped storage schemes are specifically exempted from this concurrence requirement, irrespective of their capital expenditure. For these exempted schemes, the developer may still seek technical guidance from the Central Electricity Authority. Furthermore, developers referred to in paragraph (1) are obligated to ensure adherence to the provisions of the National Dam Safety Act, 2021.

Full Text

REGD. No. D. L.-33004/99 The Gazette of India CG-DL-E-04082025-265195 EXTRAORDINARY PART II-Section 3-Sub-section (ii) PUBLISHED BY AUTHORITY No. 3475] NEW DELHI, FRIDAY, AUGUST 1, 2025/SHRAVANA 10, 1947 MINISTRY OF POWER NOTIFICATION New Delhi, the 1st August, 2025 S.O. 3561(E). In exercise of the powers conferred by sub-section (1) of section 8 of the Electricity Act, 2003 (here after in this notification referred to as the Act) and in supersession of the notification of the Government of India in the Ministry of Power, S.O. 550(E), dated the 18th April, 2006, except as respects things done or omitted to be done before such supersession, the Central Government hereby issues the following notification, namely:— (1) Schemes for setting up of hydro generating stations, involving an estimated capital expenditure exceeding rupees three thousand crores shall require the concurrence of the Central Electricity Authority: Provided that off-stream closed-loop pumped storage schemes, irrespective of the quantum of capital expenditure, shall be exempted from the requirement of concurrence by the Authority: Provided also that for the schemes falling under the exempted category, the developer may seek technical guidance from the Authority. (2) The developer referred to in paragraph (1) shall ensure adherence to the provisions of the National Dam Safety Act, 2021. [F.No. 15-23/3/2021-Hydel-II] MOHAMMAD AFZAL, Jt. Secy.

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