Nodal agency: Ministry of Power

Policy brief

The central government has proposed waiver of ISTS charges and losses for renewable power projects.

Key highlights

ISTS charge

100% ISTS charge waiver for the following:

  1. Solar, onshore wind and battery storage projects commissioned by June 2025 for 25 years
  2. Offshore wind projects commissioned by December 2032 for 25 years
  3. Pumped storage projects awarded by June 2025 for 25 years
  4. Green term-ahead and green day-ahead transactions until 30 June 2025
  5. Green hydrogen projects commissioned by December 2030 for 25 years
  6. Green hydrogen projects with minimum 51% annual power consumption from energy storage projects utilising renewable power


  1. After incentive expiry deadline, ISTS charge to be phased in gradually with annual increments of 25% for solar, wind and storage projects; two yearly increments of 25% for green hydrogen projects

  2. Projects granted SCOD extension beyond incentive deadline eligible for 100% ISTS charge waiver

ISTS loss

100% ISTS loss exemption for solar, wind and storage projects auctioned before 15 February 2021

Other highlights Projects that have been granted SCOD extension beyond 30 June 2025 due to force majeure or unavailability of power evacuation infrastructure shall be eligible for 100% transmission charges waiver. 





Policy documents