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INTRODUCTION
The months of September and October 2025 were significant in India's energy transition journey and crucial regulatory and judicial developments were also observed in the natural resources and infrastructure sectors.
Notably, the Draft Electricity (Amendment) Bill, 2025, is the first major proposal to overhaul the electricity laws in almost two decades and it seeks to reform the Indian power sector to make it financially resilient, environmentally sustainable, and capable of supporting globally competitive industries. The Amendment Bill marks a significant step towards strengthening India's power sector.
Significant changes were proposed by the draft Electricity (Second Amendment) Rules, 2025, to the requirements for captive generating plants under Rule 3 of the Electricity Rules, 2005, thereby potentially offsetting the regulatory certainty provided by the Supreme Court in its decision in the matter of Dakshin Gujarat Vij Company Limited v. Gayatri Shakti Paper and Board Limited., 2023 SCC OnLine 1276.
The National Policy on Geothermal Energy was also notified, which supports development of geothermal energy through incentives. The Ministry of Mines notified the effective date of the Mines and Minerals (Development and Regulation) Amendment Act, 2025, bringing into force a suite of reforms designed to modernise India's mineral governance framework on and from September 1, 2025.
This edition of our Energy, Infrastructure and Natural Resources Newsletter covers these significant updates and many more. This edition also examines key judicial developments relevant to the sector. We hope that it will make an interesting read.
KEY REGULATORY UPDATES
MINISTRY OF POWER
Notification of Electricity (Amendment) Rules, 2025. (Link)
The Ministry of Power, Government of India (MoP) has notified the Electricity (Amendment) Rules, 2025 (Electricity Amendment Rules 2025) on 19th September, 2025, which amends Rule 18 of the Electricity Rules, 2005 (Electricity Rules). Rule 18 of the Electricity Rules formally recognises energy storage systems as a part of the power systems, as defined under Section 2 of the Electricity Act, 2003 (Electricity Act).
The Electricity Amendment Rules 2025 explicitly recognises consumers' rights to:
Develop, own, and operate energy storage systems; and
Purchase, lease, or rent storage capacity from any developer or owner of an energy storage system.
Publication of the Draft Electricity (Second Amendment) Rules, 2025 (Link)
The MoP published the draft Electricity (Second Amendment) Rules, 2025 (Draft Amendment Rules 2025) on 23rd September 2025, which seek to amend Rule 3 of the Electricity Rules which prescribe the eligibility criteria for captive generating plants.
The Draft Amendment Rules 2025 propose key changes to the captive eligibility requirements applicable to associations of persons:
The Draft Amendment Rules 2025 propose to remove the proportionality principle. Under the existing Electricity Rules, an association of persons was required to ensure that each captive user held at least 26% ownership and consumed at least 51% of the electricity generated in proportion to its shareholding, subject to a permissible variation of 10%. Under the changes proposed by the Draft Amendment Rules 2025, the 26% ownership and 51% consumption thresholds need only be satisfied "collectively" by the association of persons; and
The Draft Amendment Rules 2025 introduce a ceiling on captive benefit. Under the Draft Amendment Rules 2025, each member of the association of persons may claim captive consumption benefits only up to 110% of their proportionate entitlement, computed with reference to their ownership share in the generating plant.
Notification of the Revised Renewable Energy Consumption Obligations (Link)
On 27th September 2025, the MoP notified the revised minimum renewable energy consumption requirements for designated consumers (Revised RCO Compliance Framework), superseding its earlier notification issued vide S.O. 4617(E), dated 20th October 2023.
Key changes introduced under the Revised RCO Compliance Framework include:
No additional renewable purchase obligation under the Electricity Act will apply to designated consumers.
State-level renewable purchase obligations have been subsumed within the renewable consumption obligations under the Revised RCO Compliance Framework.
consumption obligations across wind, hydro, and other renewable energy components have been made fungible, allowing surplus consumption under one or more components to offset deficits under others.
consumption obligations for distributed renewable energy have been designated as non-fungible, such that deficits under this component cannot be offset by surplus from other components, although any surplus under distributed renewable energy may be used to set off deficits elsewhere.
consumption from nuclear power sources is to be excluded when determining compliance with the consumption obligations.
Under the Revised RCO Compliance Framework, designated consumers may meet their minimum renewable energy consumption requirements through direct consumption of renewable electricity, purchase of renewable energy certificates (including those procured under virtual power purchase agreements), or payment of a buyout price specified by the Central Electricity Regulatory Commission.
Publication of the draft Electricity (Amendment) Bill, 2025. (Link)
The MoP has proposed sweeping amendments to the to the Electricity Act, 2003 vide the draft Electricity (Amendment) Bill, 2025 issued on 9th October 2025, (Amendment Bill 2025), inviting public comments and suggestions. The Amendment Bill 2025 represents the first major overhaul of the Electricity Act, in almost 2 decades and seeks to reform the Indian power sector to make it financially resilient, environmentally sustainable, and capable of supporting globally competitive industries. To achieve these objectives, the Amendment Bill 2025 introduces several key measures, including the following:
Cost-Reflective Tariffs and Suo Motu Determination: The Amendment Bill 2025 proposes to mandate cost-reflective tariff determination by amending Section 61(g) of the Electricity Act and empowers electricity regulatory commissions to initiate suo motu tariff proceedings under Section 64 of the Electricity Act where distribution licensees delay filings, aiming to improve financial discipline and reduce revenue gaps.
Exemption from Universal Service Obligation: The Amendment Bill 2025 proposes exempting distribution licensees from the universal service obligation for capable commercial and industrial consumers, while designating a supplier of last resort. The measure seeks to reduce excess power contracting by distribution licensees.
Shared Use of Distribution Networks: Amendments to Sections 14 and 42 of the Electricity Act have been proposed to enable multiple distribution licensees to operate using shared networks to prevent duplication of infrastructure. This proposed amendment aims to improve efficiency in network expansion and reduce unnecessary capital expenditure.
Rationalisation of Cross-Subsidies: A new proviso to Section 61(g) of the Electricity Act has been proposed which mandates eliminating cross-subsidies for manufacturing enterprises, railways, and metro systems within 5 years. The proposal aims to lower industrial power costs and enhance competitiveness of the industrial sector of the country.
Establishment of Electric Line Authority: Amendments proposed to Section 164 of the Electricity Act seek to establish an Electric Line Authority to assume powers previously exercised under the repealed Telegraph Act, 1885.
Constitution of Electricity Council: A new Section 166(1A) is proposed to be inserted under the Electricity Act to establish an Electricity Council to advise governments, harmonise policy positions, and coordinate reform implementation. The body is intended to strengthen cooperative federalism and enhance alignment across central and state jurisdictions.
To read more on the Amendment Bill 2025, please click here.
MINISTRY OF NEW RENEWABLE ENERGY
Notification of the National Policy on Geothermal Energy (Link)
On 15th September 2025, the Ministry of New and Renewable Energy, Government of India (MNRE) has notified the National Policy on Geothermal Energy (National Geothermal Policy). The National Geothermal Policy acknowledges the significance of integrating geothermal energy into India's renewable energy mix, given the country's substantial geothermal potential arising from its unique geological settings.
The National Geothermal Policy recognises the challenges associated with development of geothermal energy, i.e., - high upfront costs and exploration risks, and seeks to address these challenges through policy measures aimed at: (i) facilitating investments from both – private and public sector; and (ii) streamlining regulatory processes.
The primary goals of the National Geothermal Policy, inter-alia, are:
Enhancing research and technological capabilities in geothermal exploration, drilling, reservoir management, and cost-effective power generation.
Promoting geothermal heating and cooling solutions, including ground source heat pumps and other direct-use applications for decarbonization.
Extension of Timelines under the Scheme for Development of Solar Parks and Ultra Mega Solar Power Projects (Link)
By a notification dated 17th September 2025, the MNRE extended the timelines under the Scheme for Development of Solar Parks and Ultra Mega Solar Power Projects (Development Scheme) by 3 years, i.e., until March 31, 2029, to facilitate the completion of ongoing solar parks and settlement of committed liabilities. The MNRE has further clarified that new sanctions or approvals under the Development Scheme may be accorded only until 31st March 2026, subject to the availability of capacity.
The MNRE had launched the Development Scheme in March 2017 with the objective of establishing at least 50 solar parks, each having a capacity of 50 MW or more.1 The solar parks were initially targeted for completion by FY 2019–2020; however, this deadline has been successively extended over time.
Easing of applications/clarification under Waste to Energy Programme (Link)
Guidelines for the Waste-to-Energy Scheme were issued on 2nd November 2022 by the MNRE, to promote the generation of biogas, BioCNG, power, and producer/syngas from urban, industrial, and agricultural waste and residues (W2E Programme).
On 3rd October 2025, to further streamline processes,
ensure timely processing, and make the documentation under the W2E
Programme more user-friendly, several changes have been proposed to
the application process.
On 29th October 2025, the MNRE published the Standard Operating Procedure for ALMM-Wind and ALMM-WTC (SOP). This SOP governs the process for all entities applying for enlistment in either the ALMM-Wind or ALMM-WTC.
The ALMM-Wind is a list of type and quality certified wind turbine models that are eligible for installation in the country. Similarly, ALMM-WTC is a list to be issued by the MNRE for the key wind turbine components (including blades, towers, generators, gearboxes, and main, pitch, and yaw bearings) that can be used for manufacturing wind turbine models listed in ALMM-Wind.
MINISTRY OF PETROLEUM AND NATURAL GAS
Public Consultation for the Petroleum and Natural Gas Regulatory Board (Eligibility Conditions for Registration of Liquefied Natural Gas Terminal) (Amendment) Rules, 2025 (LNG Amendment Rules 2025). (Link)
On 24th October 2025, the Ministry of Petroleum and Natural Gas, Government of India (MoPNG) issued a public notice inviting comments on the LNG Amendment Rules 2025 which seek to amend the Petroleum and Natural Gas Regulatory Board (Eligibility Conditions for Registration of Liquefied Natural Gas Terminal) Rules, 2012 (Conditions for Registration Rules).
Section 11 of the Petroleum and Natural Gas Regulatory Board Act, 2006 (PNGRB Act) empowers the Petroleum and Natural Gas Regulatory Board (Board) to register entities desirous of establishing or operating liquified natural gas terminals (LNG Terminals). Further, Section 15(1) of the PNGRB Act provides that entities desirous of establishing or operating liquified natural gas terminals must fulfil the eligibility criteria prescribed by the Board.
The LNG Amendment Rules 2025 aim to promote fair access and transparency in the operation of LNG terminals, in the broader public interest, to enhance the availability of liquefied natural gas in the country.
Under the LNG Amendment Rules 2025, entities seeking to establish or operate an LNG terminal for importing liquified natural gas may apply for registration only if they have (i) a minimum net worth of INR 1,500 crore in each of the preceding three financial years (at the entity, parent, or promoter level), and (ii) experience in completing an infrastructure project exceeding INR 1,000 crore or in building and operating a hydrocarbon project exceeding INR 600 crore within the previous five years.
Further, applicants intending to operate an LNG Terminal must additionally maintain a credible plan to hold storage capacity at least 10% above day-to-day regasification requirements, which must be made available upon direction of the Central Government.
MINISTRY OF ENVIRONMENT, FOREST & CLIMATE CHANGE
Notification of the Guidelines for using Afforestation on Degraded Forest Lands under the Green Credit Programme to Meet the Requirements of Compensatory Afforestation (Link)
The Ministry of Environment, Forests & Climate Change, Government of India (MoEF&CC) issued guidelines in September 2025 for using the afforestation raised over degraded forest lands under the green credit programme to meet the requirement of compensatory afforestation (Afforestation Guidelines), under the provisions of the Van (Sanrakshan Evam Samvardhan) Rules, 2023 (Van Sanrakshan Rules).
Rule 14(d) of the Van Sanrakshan Rules permits the use of afforestation raised by government departments or other entities over degraded forest lands, revenue forest lands, or non-forest lands under any Central Government schemes, programmes, and/or policies to meet the compensatory afforestation obligations prescribed under the Van Sanrakshan Rules. Such utilisation is, however, subject to the terms and conditions specified by the Central Government. The Afforestation Guidelines have accordingly been notified to give effect to and facilitate the implementation of this provision.
The Afforestation Guidelines prescribe the preconditions and procedure for the exchange of lands restored under the Green Credit Programme2 towards meeting the compensatory afforestation requirements stipulated under the Van Sanrakshan Rules.
MINISTRY OF COAL
Public Consultation for the Draft Coal Exchange Rules, 2025. (Link)
On 16th September 2025, the Ministry of Coal, Government of India (MoC) published the Draft Coal Exchange Rules, 2025 (Draft Coal Exchange Rules), seeking to establish a coal trading platform.
The Government of India anticipates that domestic coal production will continue to expand significantly—having already surpassed the 1 billion tonne mark in financial year 2024–25 and projected to exceed 1.5 billion tonnes by 2030. With this anticipated increase in availability, India is expected to transition towards a surplus coal scenario, prompting a fundamental shift in existing coal sale and distribution mechanisms. In view of this evolving market landscape, the Ministry of Coal has proposed the Draft Coal Exchange Rules to introduce a trading framework for coal and lignite, and has invited public comments thereon.
The Draft Coal Exchange Rules have been issued under the powers conferred by Section 188 of the Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act), which authorises the Central Government to promote market development, including trading of minerals, their concentrates, or processed forms (including metals) through mineral exchanges, and to appoint an authority for their regulation. The MMDR Act defines a "mineral exchange" as an electronic trading platform or marketplace registered under the MMDR Act, where buyers and sellers of minerals, their concentrates, or processed forms (including metals) may transact, trade, or enter into contracts, including derivative contracts. Notably, coal is classified as a specified mineral under Part A of the First Schedule to the MMDR Act.
Increase in the area limits under Section 6 (1) of the MMDR Act for grant of Prospecting Licenses/ Mining Leases to 125 square kilometres in respect of coal blocks located in Madhya Pradesh State. (Link)
Section 6(1) of the MMDR Act provides that no person shall acquire in respect of any mineral or prescribed group of associated minerals in a State (a) one or more prospecting licences covering a total area of more than 25 square kilometres; or (b) one or more mining leases covering a total area of more than 10 square kilometres.
However, the proviso thereunder provides that if the Central Government is of the opinion that in the interest of the development of any mineral or industry, it is necessary so to do, it may, for reasons to be recorded in writing, increase the aforesaid area limits in respect of prospecting licence or mining lease, in so far as it pertains to any particular mineral, or to any specified category of deposits of such mineral, or to any particular mineral located in any particular area.
Earlier, in order to expedite the process of obtaining clearances and to further facilitate early operationalization of coal blocks, the Ministry of Coal vide an office order dated 7th March 2024, exercising powers under Section 6(1) of the MMDR Act, had increased the area limit for obtaining one or more prospecting licences from 25 square kilometres to 35 square kilometres and area limits for obtaining one or more mining leases from 10 square kilometres to 35 square kilometres in respect of coal blocks located in the State of Madhya Pradesh.
On 6th October 2025, the MoC has further issued an order under Section 6(1) of the MMDR Act, increasing the area limits for prospecting licences and mining leases for coal blocks in the State of Madhya Pradesh to 125 square kilometres each.
MINISTRY OF MINES
Effectiveness of the Mines and Minerals (Development and Regulation) Amendment Act, 2025 (Link)
The Ministry of Mines, Government of India (MoM) vide a notification dated 1st September 2025, has notified the effective date of the Mines and Minerals (Development and Regulation) Amendment Act, 2025 (Mines Amendment Act), bringing into force a suite of reforms designed to modernise India's mineral governance framework on and from September 1, 2025.
Key highlights of the Mines Amendment Act include:
A new definition of "mineral exchange" has been inserted in Section 3 of the MMDR Act, establishing an electronic platform for mineral trading, including derivatives.
A new Section 6A allowing holders of mining leases and composite licences for deep-seated minerals to seek a one-time extension of their leased area to include contiguous land, subject to limits of 10% and 30%, respectively.
The requirement to obtain prior approval of the central government for granting composite licences for notified minerals in areas with inadequate mineral evidence has been omitted. State governments may now directly grant such licences under Section 11 of the MMDR Act.
A new Section 15B permits inclusion of additional minerals in existing leases, with corresponding payments as specified in the newly introduced eighth schedule.
A new Section 18B empowers the central government to promote and regulate mineral exchanges as part of a structured and transparent mineral market.
Notification of the Incentive Scheme for Promotion of Critical Minerals Recycling (Link)
On 8th September 2025, the MoM notified the incentive scheme for promotion of critical minerals recycling (Incentive Scheme), for providing financial incentives to the industry to develop recycling capacity for critical materials in the country for the separation and production of critical minerals from secondary sources through recycling. The Incentive Scheme aims to foster economic resilience in critical minerals through increased domestic capacity and reduced import dependence; and to address recycling capacity shortfalls amidst increasing availability of feedstock.
The key highlights of the incentive scheme are:
The Incentive Scheme is aimed for recyclers of secondary products involved in the recovery and extraction of critical minerals, registered in India. Authorization of recycling facilities by the central pollution control board /state pollution control board will be a mandatory eligibility criterion.
It will apply to both new investments and projects involving expansion, modernization, or diversification of existing units.
The Incentive Scheme provides both capex and opex subsidies, subject to an incentive ceiling of either ₹ 50 crore or ₹ 25 crore, depending on the beneficiary's group classification based on its global manufacturing revenue (i.e., the total revenue earned by a company including its holding or subsidiary entities, as applicable).
The Incentive Scheme will operate for a tenure of 6 years, from FY 2025–26 to FY 2030–31.
Order under Section 20A of the MMDR Act – Transition Provisions for the Pending Applications for Barytes, Feldspar, Mica, and Quartz (Link)
On 24th September 2025, the Ministry of Mines issued an order under Section 20A of the MMDR Act for the purposes of providing transition provisions for the pending applications that were submitted to the state governments for grant of mineral concessions in respect of minerals Barytes, Felspar, Mica and Quartz (Transitional Provision Order), when these minerals were classified as minor minerals.
The Central Government initially classified Barytes, Felspar, Mica, and Quartz as minor minerals3 but later reclassified them as minerals other than minor minerals (hereinafter, 'major minerals').4 The Central Government, having earlier issued transitory provisions for existing mining leases of Barytes, Felspar, Mica, and Quartz following their reclassification as major minerals,5 now proposes additional transition measures for applicants who had progressed under the earlier regime. These provisions aim to facilitate a smooth shift for entities that had either received letters of intent for mineral concessions or were selected as preferred bidders under the framework for minor minerals, ensuring that their applications are duly transitioned to the regulatory regime applicable to major minerals without disrupting ongoing processes.
The Transitional Provision Order provide that:
where an application has been made for grant of a mineral concession. but the State Government has not issued letter of intent (by whatever name called) for granting the mineral concession before 20th February 2025, the application shall lapse. Applications for mineral concessions where no letter of intent was issued before 20th February 2025 shall stand lapsed.
Where a valid letter of intent existed or a preferred bidder had been selected before 20th February 2025, the mining lease may be granted in accordance with the rules made by the state government in respect of minor minerals within 2 years from the date of publication of the Transitional Provision Order. No lease shall be executed thereafter.
Once the lease is executed, all provisions of the MMDR Act and rules applicable to major minerals shall apply.
CENTRAL ELECTRICITY REGULATORY COMMISSION
Publication of Draft CERC (Terms & Conditions for Renewable Energy Certificates for Renewable Energy Generation) (First Amendment) Regulations, 2025
On 22nd September 2025, the Central Electricity Regulatory Commission (CERC) published the draft CERC (Terms and Conditions for Renewable Energy Certificates for Renewable Energy Generation) (First Amendment) Regulations, 2025 (Draft REC Amendment Regulations).
The key amendments sought to be introduced under the Draft REC Amendment Regulations include:
Renewable energy generating plants that do not meet the conditions for captive generation under the Electricity Rules but have self-consumption have now been made eligible for issuance of Renewable Energy Certificates (RECs).
The timeline for submission of applications for RECs has been revised. Earlier, applications were required to be submitted within three months from the end of the financial year; they must now be submitted within three months from the date of certification by the concerned state commission regarding the purchase of electricity from renewable sources in excess of the renewable purchase obligation determined by such commission.
Different certificate multipliers have been prescribed for renewable energy generating stations and captive generating stations based on their commissioning period — i.e., those commissioned between 5th December 2022 and the effective date of the CERC (Terms and Conditions for Renewable Energy Certificates for Renewable Energy Generation) (First Amendment) Regulations, 2025, and those commissioned thereafter.
Provisions have also been introduced to clarify the treatment of RECs under virtual power purchase agreements.
CENTRAL ELECTRICITY AUTHORITY
Central Electricity Authority circular on the requirement of identification of unit(s) of a generating station for captive purpose owned by a special purpose vehicle (Link)
On 10th September 2025, the Centra Electricity Authority (CEA) issued a circular regarding the identification of unit(s) of a generating station for captive purposes owned by a special purpose vehicle (CEA Circular). The Circular follows the notification of the 'Procedure for Verification of Captive Status of Generating Plants where the Captive Generating Plant and its Captive User(s) are located in more than one State' (Verification Procedure), notified by the CEA earlier this year.
Pursuant to Rule 3(1)(b) of the Electricity Rules and paragraph 6.8(i) of the Verification Procedure, where a generating station is owned by an special purpose vehicle and specific unit(s) are identified for captive use, such identification must be intimated to the verifying authority under the Verification Procedure, the concerned distribution licensee, and the relevant regional or state load despatch centre. The CEA Circular prescribes the format for providing this intimation.
Publication of draft CEA (Technical Standards for Construction of Electrical Plants and Electrical Lines) (2nd Amendment) Regulations, 2025. (Link)
On 6th October 2025, the CEA has published the draft CEA (Technical Standards for Construction of Electrical Plants and Electrical Lines) (2nd Amendment) Regulations, 2025 (Draft Construction Amendment Regulations).
Draft Construction Amendment Regulations seek to amend the CEA (Technical Standards for Construction of Electrical Plants and Electrical Lines) Regulations, 2022, to prescribe the technical standards for construction of, inter-alia, (i) renewable energy stations and battery energy storage systems, (ii) solar power plants, (iii) floating solar plants, (iv) onshore wind power plants, (v) off-shore wind power plants etc.
Publication of draft CEA (Technical Standards for Construction of Electrical Plants and Electrical Lines) (2nd Amendment) Regulations, 2025. (Link)
On 6th October 2025, the CEA has published the draft CEA (Cyber Security in Power Sector) Regulations, 2025 (Draft Cyber Security Regulations).
The Draft Cyber Security Regulations are applicable to: (i) all entities which own, operate, or manage operational technology infrastructure associated with the power systems and their information technology infrastructure that is physically or logically connected to such operational technology infrastructure, and (ii) power exchanges and over the counter platforms.
A central feature of the Draft Cyber Security Regulations is the designation of Computer Security Incident Response Team–Power (CSIRT-Power) (i.e., an organisation established by the MoP as an extended arm of the Indian Computer Emergency Response Team (CERT-In)) as the nodal agency for cyber security coordination in the power sector. Coordinating and collaborating with CERT-In, CSIRT–Power will collect and analyse cyber security incident, issue advisories, coordinate responses, and assist utilities in preparing and testing their Cyber Crisis Management Plans.
The Draft Cyber Security Regulations are to come into force 6 months after their publication in the official gazette.
BUREAU OF ENERGY EFFICIENCY
Draft Corporate Average Fuel Efficiency (CAFE) Standards for 2027–2032 (Link)
On 25th September 2025, the Bureau of Energy Efficiency published the draft corporate average fuel consumption standards for 2027–32 (Draft CAFC), proposing the next phase of fuel-efficiency norms for passenger vehicles and light-duty commercial vehicles.
Under Rule 115-G of the Central Motor Vehicle Rules, 1989 (CMV Rules), every manufacturer or importer of M1 category of motor vehicles (i.e., passenger cars with seating capacity not exceeding 9 persons including the driver and gross vehicle weight not exceeding 3,500 kg) which are type approved under Rule 126 of the CMV Rules, manufactured or imported for sale in India, are required to comply with the average fuel consumption standard, notified by the Central Government.
PETROLEUM AND NATURAL GAS REGULATORY BOARD (PNGRB)
Invitation for Stakeholder & Consumer Comments on LPG Interoperability Framework (Link)
On 17th September 2025, the PNGRB published a public notice seeking stakeholder feedback on the concept paper on LPG interoperable service delivery (Concept Paper).
The Concept Paper identifies key challenges in LPG service delivery, supported by complaint data, and proposes a framework for inter-company service portability while drawing on global best practices.
The highlighted challenges include: (i) delivery delays; (ii) non-compliance with delivery standards under the marketing discipline guidelines issued by the oil marketing companies (OMCs); and (iii) supply disruptions and outages. Against this backdrop, the Concept Paper observes that a "business-as-usual" approach is insufficient to address persistent service inefficiencies and underscores the need for a structural reform in how LPG companies collaborate to serve consumers. It accordingly proposes the establishment of a cross-service mechanism, under which the nearest available LPG distributor, irrespective of the parent company, would fulfill a booking if the primary company's distributor is unable to do so within 24 hours.
The Concept Paper emphasises that all OMCs share a common mandate from the Government of India—to ensure reliable, affordable, and timely access to cooking fuel for all households. Operating under the administrative control of the Ministry of Petroleum and Natural Gas, OMCs sell LPG at uniform prices (with government subsidies where applicable) and are collectively responsible for advancing national energy access objectives. From the consumer's perspective, LPG cylinders marketed by different OMCs are functionally identical—standardised 14.2 kg cylinders with uniform regulator fittings and gas composition—rendering them interchangeable in practical terms. This inherent substitutability forms the basis for envisioning a cross-service model aimed at enhancing service reliability and consumer satisfaction.
CENTRAL POLLUTION CONTROL BOARD
Publication of the Guidelines for Silica Sand Mining and Washing Plants (Link)
In September 2025, the Central Pollution Control Board issued detailed guidelines for silica sand mining and washing plants (CPCB Guidelines), aimed at regulating environmental impacts arising from silica sand mining and silica sand washing plants.
The Hon'ble National Green Tribunal in November, 2024 had directed the CPCB to prepare detailed guidelines in respect of silica sand mining and silica washing plants, to be followed and observed by the concerned statutory regulators while granting permissions/consents under Water Act, 1974 and Air Act, 1981 and no objection certificates under the provisions of Environment (Protection) Act, 1986, for silica sand mining and silica sand washing plants.
The CPCB Guidelines set out several requirements concerning, inter-alia, implementation of measures for control of dust generated form loading, unloading, crushing, and drilling operations for silica; implementation of forestation and afforestation programmes in mining areas to increase green cover; installation of pollution control systems to control fugitive emissions emitted during the silica drying process; and mandatory utilisation of mud residue generated during silica washing
KEY JUDICIAL PRONOUNCEMENTS
| SUPREME COURT OF INDIA | ||
| Case Title | Summary | Ratio |
| Maha Mineral Mining & Benefication Private Limited v. Madhya Pradesh Power Generating Company Limited| Judgement dated September 12, 2025 | Special Leave Petition (Civil) No. 1940 of202 |
Facts The Appellant participated in a Notice Inviting Tender (NIT) issued by Madhya Pradesh Power Generating Company Limited (MPPGCL) for the beneficiation of run-of-mine coal and related logistics management. Under Clause 5(D) of the NIT, bidders were required to submit copies of successfully executed orders in their own name for similar works. Bidders were also permitted to rely on past experience gained through participation in previous consortiums or joint ventures, to the extent of their respective share in such consortiums or joint ventures. The technical evaluation committee under the NIT (Technical Evaluation Committee) disqualified the Appellant's technical bid, inter-alia, under Clause 5(D) of the NIT on the ground that the Appellant had not submitted the consortium/joint venture agreement. This was despite the fact that the Appellant had submitted a work execution certificate issued by the Maharashtra State Mining Corporation (MSMC), which explicitly mentioned the Appellant's share in the joint venture under the relevant agreement. Contentions The Appellant contended that Clause 5(D) did not impose any mandatory obligation to furnish the consortium/joint venture agreement. The work execution certificate issued by MSMC sufficiently demonstrated compliance with the experience requirement, as it clearly indicated the Appellant's proportionate share in the joint venture. It was further argued that under Clause 8.8 of the NIT, MPPGCL had the discretion to seek clarifications or call for additional documents in case of any ambiguity. Therefore, the outright rejection of the bid without invoking this provision was arbitrary, unreasonable, and contrary to the terms of the NIT. Observations The Court held that the Technical Evaluation Committee's insistence on the production of the consortium/joint venture agreement as the sole acceptable proof of experience was contrary to the express terms of the NIT. It further observed that MPPGCL had failed to exercise its discretion under Clause 8.8 to seek clarification, despite the availability of sufficient supporting documentation. Decision |
Tendering authorities cannot reject bids for non-submission of documents not expressly required under the tender conditions. |
| SUPREME COURT OF INDIA | ||
| Case Name | Summary | Ratio |
| Prakash Asphaltings And Toll Highways (India) Limited v. Mandeepa Enterprises & Others|Judgement dated September 12, 2025 |Civil Appeal No. 11418 of 2025 |
Facts A tender process was initiated by the State of West Bengal for the collection of road user fee from commercial vehicles for a period of 1095 days (Proposed Engagement). The tender conditions required bidders to quote their prices in a prescribed format (Prescribed Format), with Clause 4(g) explicitly stipulating that no alteration to the Prescribed Format would be accepted under any circumstances. Upon the opening of financial bids, the Appellant emerged as the highest bidder, while Respondent No. 1 emerged as the lowest bidder. Subsequently, Respondent No. 1 filed an affidavit asserting that the figures quoted by Respondent No. 1 in the Prescribed Format were intended as a per day rate and not for the entire duration of the Proposed Engagement, contending that its total bid value would, therefore, exceed that of the Appellant. On this basis, a request was made to rectify the alleged error and treat Respondent No. 1 as the highest bidder. The tendering authority, as well as the learned Single Judge of the Hon'ble High Court of Calcutta, rejected this request, upholding the sanctity of the tender process. However, the Division Bench of the Hon'ble High Court of Calcutta reversed the decision, terming the mistake "inadvertent" and directing that the figure quoted by Respondent No. 1 be treated as a per day amount. The Division Bench further directed that other bidders be given an opportunity to match this revised rate. Contentions The Appellant contended that the Division Bench of the Hon'ble High Court of Calcutta erred in permitting post-bid rectification in contravention of Clause 4(g) of the tendering conditions, which categorically prohibited any modification of the Prescribed Format. Such a decision, it was argued, undermined the fairness, sanctity, and transparency of the tender process. Observations The Hon'ble Supreme Court observed that Clause 4(g) of the tendering conditions unequivocally barred any alteration to the Prescribed Format "under any circumstances." It was further observed that the Prescribed Format submitted by Respondent No. 1 itself reflected the quoted figure as the total bid amount, both in words and in figures. The Supreme Court noted that permitting post-bid rectification after the financial bids had been opened would erode the fairness and transparency that form the cornerstone of public procurement. Decision The Hon'ble Supreme Court set aside the judgment of the Division Bench of the Hon'ble High Court of Calcutta and restored the order passed by the learned Single Judge. The Court directed that the State authorities were at liberty to finalise the contract strictly in accordance with the original tender process and the results declared thereunder. |
Sanctity of the tender process prohibits any post-bid alteration, since modifications after bid opening undermine equal treatment and transparent evaluation among bidders. |
| HIGH COURT OF CHHATTISGARH | ||
| Case Title | Summary | Ratio |
|
Facts The Petitioner executed a mining lease with the State of Chhattisgarh (Mining Lease) in 2017. Clause 5.18 of the Mining Lease and Office Order No. S.O. 27 (E). dated January 04, 2017, issued by the Ministry of Mines (2017 Notification), prohibited commencement of mining operations before securing environmental clearance (EC) under the provisions of the Environmental Impact Assessment Notification, 2006. In 2022, the State of Chhattisgarh issued a notice to the Petitioner, of its intention to terminate the Mining Lease, under Section 4A(4) of the Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act) – which requires the lessee of mining lease to commence the mining operations within 2 years from the date of execution of such mining lease, asserting that the Petitioner had failed to commence mining operations within the stipulated timeline. Aggrieved by the said notice by the State of Chhattisgarh, the Petitioner approached the Hon'ble High Court of Chhattisgarh. Contentions The Petitioner contended that in the absence of an EC, the Petitioner was restrained from commencing the mining operations in terms of Clause 5.18 of the Mining Lease and by the provisions of the 2017 Notification. The Petitioner accordingly contended that since the Petitioner was restrained from commencing mining operations in terms of the aforementioned contractual and statutory prohibitions, the two-year period under Section 4A(4) could not have been considered to begin. Observations and Decision The Hon'ble High Court of Chhattisgarh observed that the 2 year period under Section 4A(4) MMDR Act commences only when the leaseholder is legally entitled to commence mining operations. The 2 year period cannot be computed in the absence of such entitlement. Since the Petitioner was prevented from commencing the mining operations before obtaining EC, the condition precedent for triggering the 2 year period under Section 4A(4) MMDR Act were never fulfilled. The Hon'ble High Court of Chhattisgarh quashed the impugned notice, holding it to be without jurisdiction and authority of law. |
The 2 year period under Section 4A(4) of the MMDR Act begins only when the mining lessee is legally entitled to commence mining operations. Where statutory or contractual conditions prevent such commencement, the period does not start. |
| APPELLATE TRIBUNAL FOR ELECTRICITY | ||
| Case Title | Summary | Ratio |
| Bihar State Power Transmission Company Limited v. The Chairman, Bihar Electricity Regulatory Commission | Judgement dated on October 31, 2025 | Appeal No. 59 of 2022 |
Facts The Appellant, Bihar State Power Transmission Company Limited (BSPTCL), filed a Petition before the Hon'ble Bihar Electricity Regulatory Commission (BERC) under Sections 61 and 62 of the Electricity Act, 2003, seeking true up of its transmission assets. BSPTCL had achieved a transmission availability factor (TAF) of approximately 99% per cent (as against 98% i.e., the target prescribed by Regulation 68 of the BERC (Terms and Conditions for Determination of Tariff) Regulations, 2007 (BERC Tariff Regulation)) in the relevant financial year and claimed incentives as per Regulation 76 of the BERC Tariff Regulation. According to Regulation 76 of the BERC Tariff Regulation, transmission licensees achieving TAF beyond 98% are entitled to certain incentives for each percentage point of availability achieved beyond the target (Variable Incentives). However, the BERC relied on Regulation 4 of the BERC Tariff Regulation which, inter-alia, stipulates that the BERC shall be guided by principles and guidelines issued by the CERC for determination of tariffs. Accordingly, the BERC applied Regulation 38 of Central Electricity Regulatory Commission Tariff Regulations, 2014-19 (CERC Tariff Regulations), adopting a higher TAF for computing the minimum threshold for payment of the Variable Incentive, thereby reducing the Variable Incentive claimable by the Petitioner. Aggrieved by the methodology adopted by the BERC in determination of the Variable Incentive, the Appellant approached to the Appellate Tribunal for Electricity (Tribunal). Contentions The Appellant argued that substituting the TAF of 98% prescribed under the BERC Tariff Regulations with a higher TAF as prescribed under the CERC Tariff Regulations for the purposes of computing the minimum threshold for payment of the Variable Incentive was arbitrary and ultra vires. Observations and Decision The Tribunal observed that Regulations 68 and 76 of BERC Tariff Regulation are specific provisions governing target availability and incentive, whereas Regulation 4 of BERC Tariff Regulation is a general clause guiding tariff formulation. The latter cannot override explicit norms already framed by BERC. The tribunal further observed that Regulation 4 of BERC Tariff Regulation, read with Section 61 of the Electricity Act 2003, only obliges the BERC to consider Central Electricity Regulatory Commission (CERC) principles while framing its own regulations, not to re-apply CERC standards where its regulations already exist. CERC norms may be invoked only to fill a regulatory gap, which was absent here. Accordingly, the appeal was allowed, and the decision of BERC was set aside. |
A general regulatory guidance clause cannot override specific tariff norms; external principles apply only where a regulatory gap exists, not to displace explicit standards. |
| CENTRAL ELECTRICITY REGULATORY COMMISSION | ||
| Case Title | Summary | Ratio |
| L&FS Tamil Nadu Power Company Limited v. Tamil Nadu Generation and Distribution Corporation Limited | Judgement dated on October 13, 2025 | Petition No. 162/MP/2022 |
Facts Following steep coal price escalation and supply shortages, the Ministry of Power (MoP) invoked Section 11(1) of the Electricity Act, which empowers the "Appropriate Government" (central or state) to issue directions to any generating company to operate and maintain a generating station during extraordinary circumstances, directing imported coal-based plants to operate at full capacity and fixing a benchmark Energy Charge Rate (ECR). Petitioner filed a petition before CERC under Section 11(2), seeking compensation for under-recovery caused by the MoP's directive. Contentions Petitioner argued that the MoP exceeded its powers by fixing the ECR, as tariff regulation lies solely with CERC under Section 79 of the Electricity Act. The Petitioner submitted that Section 11(2) mandates the grant of compensation for financial losses resulting from government directions, and only CERC can determine such compensation. Observations and Decision CERC held that MoP's operational directions under Section 11(1) could not have been extended for the purposes of tariff fixation, and that the compensation determination under Section 11(2) lies exclusively within CERC's jurisdiction. |
While the appropriate government may issue operational directions to generating companies under Section 11(1) during extraordinary circumstances, only the Appropriate Commission has jurisdiction under Section 11(2) to determine compensatory tariff. |
| CENTRAL ELECTRICITY REGULATORY COMMISSION | ||
| Case Title | Summary | Ratio |
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Facts The Petitioner, developer of a coal-based thermal power project in State of Chhattisgarh, entered into a Power Purchase Agreement (PPA) with Tamil Nadu Power Distribution Corporation Limited (TNPDCL). The Scheduled Delivery Date (SDD) under the PPA was revised and was conclusively determined by the CERC. Despite such revision of the SDD, TNPDCL demanded Liquidated Damages (LD) from the Petitioner alleging delay in supply of electricity. The Petitioner, approached CERC seeking to quash the LD demand, asserting that the alleged delay fell within the revised SDD. Contentions TNPDCL contended that since there is no clause in the PPA linking LDs to the tariff, the dispute raised by KSKMPCL, in the present case, is purely in the nature of a contractual dispute, unconnected with the power of regulation of tariff under Section 79 of the Electricity Act. Further, TNPDCL contended that the language of Section 79(1)(f) of the Electricity Act does not embrace adjudication of the contractual disputes, not connected with the regulation of tariffs or the regulation of inter-state transmission of electricity. Observations CERC found that the LD claim arose solely from Article 4.8 of the PPA concerning compensation for delay, which was contractual and unrelated to tariff determination. The CERC emphasized that as no supply occurred during the delay period, the LD claim did not affect tariff computation or regulatory functions. Decision CERC held that the dispute over LD was a non-tariff, contractual matter beyond its jurisdiction under Section 79(1)(f) of the Electricity Act and directed resolution through arbitration under Article 14.3.2.1 of the PPA. |
Only issues bearing on tariff invoke Section 79(1)(f); contractual disagreements not affecting tariff lie exclusively within the parties' contractual dispute process. |
| NATIONAL GREEN TRIBUNAL | ||
| Case Title | Summary | Ratio |
| Dr. Raja Singh v. Union of India| Judgement dated on October 30, 2025 | Original Application No. 298 of 2023 |
Facts The National Green Tribunal (NGT), Principal Bench, New Delhi, delivered its final order in an application seeking a nationwide ban on asbestos cement roofing sheets in school buildings, citing severe health hazards. The concern was that aging asbestos roofs release airborne fibres capable of causing fatal diseases such as mesothelioma, lung cancer, and asbestosis. Contentions The Applicant relied on the precautionary principle under Section 20 of the NGT Act, 2010, and the Right to Health under Article 21 of the Constitution of India, arguing for preventive action before irreversible harm occurs. The Applicant contended that asbestos sheets deteriorate over time, releasing fibers that can be inhaled. The Applicant urged that children should not occupy asbestos-roofed buildings due to elevated dust levels. Observations The NGT affirmed its jurisdiction under the National Green Tribunal Act, the Air (Prevention and Control of Pollution) Act, 1981, and the Environment (Protection) Act, 1986. It observed that asbestos fibers constitute an "air pollutant" and clarified that its authority extends to indoor air quality in public spaces, including schools. The NGT noted the absence of specific scientific evidence showing health risks from asbestos roofing in schools. In absence of specific scientific evidence, the NGT declined to direct an immediate ban solely on the basis of the precautionary principle. Decision While the NGT declined to impose an immediate ban, it issued detailed directions, including: Employers must now assess asbestos exposure levels, clearly demarcate regulated areas, mandate the use of PPE, prohibit smoking and dry-cleaning activities near asbestos, and ensure regular medical monitoring and training for all workers. For educational institutions, stringent protocols must be followed for the handling, maintenance, and disposal of asbestos roofing. Sheets in good condition may be sealed with appropriate paint, whereas damaged sheets must be safely removed and replaced under expert supervision. |
Environmental adjudication requires a science-based foundation; absent concrete evidence of risk, courts may refrain from ordering blanket prohibitions. |
| NATIONAL GREEN TRIBUNAL | ||
| Case Title | Summary | Ratio |
| Dr. Raja Singh v. Union of India| Judgement dated on October 30, 2025 | Original Application No. 298 of 2023 |
Facts The National Green Tribunal (NGT), Principal Bench, New Delhi, delivered its final order in an application seeking a nationwide ban on asbestos cement roofing sheets in school buildings, citing severe health hazards. The concern was that aging asbestos roofs release airborne fibres capable of causing fatal diseases such as mesothelioma, lung cancer, and asbestosis. Contentions The Applicant relied on the precautionary principle under Section 20 of the NGT Act, 2010, and the Right to Health under Article 21 of the Constitution of India, arguing for preventive action before irreversible harm occurs. The Applicant contended that asbestos sheets deteriorate over time, releasing fibers that can be inhaled. The Applicant urged that children should not occupy asbestos-roofed buildings due to elevated dust levels. Observations The NGT affirmed its jurisdiction under the National Green Tribunal Act, the Air (Prevention and Control of Pollution) Act, 1981, and the Environment (Protection) Act, 1986. It observed that asbestos fibers constitute an "air pollutant" and clarified that its authority extends to indoor air quality in public spaces, including schools. The NGT noted the absence of specific scientific evidence showing health risks from asbestos roofing in schools. In absence of specific scientific evidence, the NGT declined to direct an immediate ban solely on the basis of the precautionary principle. Decision While the NGT declined to impose an immediate ban, it issued detailed directions, including: Employers must now assess asbestos exposure levels, clearly demarcate regulated areas, mandate the use of PPE, prohibit smoking and dry-cleaning activities near asbestos, and ensure regular medical monitoring and training for all workers. For educational institutions, stringent protocols must be followed for the handling, maintenance, and disposal of asbestos roofing. Sheets in good condition may be sealed with appropriate paint, whereas damaged sheets must be safely removed and replaced under expert supervision. |
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