The Southern Gujarat Chamber of Commerce and Industry (SGCCI) has raised concerns with the State Finance and Energy Minister, Kanu Desai, regarding limitations on renewable energy usage by industrialists under Gujarat’s Green Energy Open Access Rules. SGCCI emphasizes that reducing electricity costs is critical for the state’s textile industry, especially in staying competitive globally and complying with strict sustainability regulations, like those in European markets.
The Chamber’s memorandum points out that the Gujarat Electricity Regulatory Commission’s (GERC) Green Energy Open Access Rules, aligned with national policies, initially allowed for greater flexibility in banking renewable energy. However, a recent order from Gujarat Urja Vikas Nigam Limited (GUVNL) on August 31, 2024, restricted this to 30% of the total net electricity drawn. This cap hampers the potential of renewable energy projects, particularly for textile manufacturers, who must use 100% green energy to meet European Eco Design regulations for exports.
SGCCI believes that this restriction may limit the ability of Surat’s textile industry, a key hub in Gujarat, to remain viable in international markets. They are calling for the removal of this restriction to ensure textile units can maximize the use of renewable energy, meet global sustainability standards, and continue exporting to environmentally conscious countries.
