Electricity (Amendment) Rules 2026 on Captive Power Plants
Why in the news
The Union government revised the electricity rules so factories producing their own power have clearer ground rules.
Key facts
- Instrument: Electricity (Amendment) Rules, 2026, amending the Electricity Rules, 2005.
- Focus: captive power plants (CPP), which make electricity for the industry’s own use.
- Aim: remove regulatory ambiguity and boost ease of doing business.
Why industries go captive
- Dependable supply.
- Lower energy cost and reduced transmission losses.
- Meets sustainability goals through renewables.
Background
- The concept was earlier recognised in the National Electricity Policy, 2005.
Exam angle
- New instrument: Electricity (Amendment) Rules, 2026.
- Captive plant: self-use generation.