PANCHKULA, March 24 — The Haryana Electricity Regulatory Commission (HERC) has placed a hold on the state’s short-term power procurement plans for the upcoming summer, citing significant discrepancies in the data provided by the Haryana Power Purchase Centre (HPPC). In an interim order dated March 17, the regulator declined to approve a proposal to purchase 1,345 MW of round-the-clock power at ₹6.10 per unit, seeking detailed clarifications instead.
The commission asserted that the demand-supply projections submitted by HPPC for the 2026-27 financial year were inconsistent with other petitions. While one filing showed a deficit of 3,193 MW for June 2026, another petition reported a much smaller gap of 1,048 MW for the same period. HERC Chairman Nand Lal Sharma and members Mukesh Garg and Shiv Kumar stated that such conflicting scenarios are “not convincing” and require a complete rework of the procurement strategy.
The regulator also highlighted a concerning trend in the 2024-25 fiscal year, where HPPC reportedly purchased 6,965 million units (MUs) of short-term power via competitive bidding at an average rate of ₹6.54 per unit. During the same period, the agency sold 4,721 MUs of surplus power back into the open market at a significantly lower average rate of ₹4.76 per unit. The commission affirmed that this practice of buying high and selling low creates a financial burden that could ultimately impact consumer tariffs.
To avoid future losses, the panel declared that HPPC must exercise greater prudence in portfolio optimization and demand forecasting. The regulator noted that procurement from power exchanges during the previous year was actually cheaper than the rates discovered through the bidding process. HERC maintained that a more accurate planning process is essential to prevent the disposal of costly power at lower market rates, ensuring the state remains prepared for the peak summer months without unnecessary financial strain.
