Open access solar allows an eligible business to purchase renewable electricity from an off-site project and receive that power through the grid. GSE Renewables structures open access solar solutions in India for commercial and industrial consumers that need more renewable power than their own roof or land can provide.
The result depends on the state, contracted demand, consumption profile, project location, procurement model, PPA terms and grid charges. GSE begins with load and tariff data, then compares captive, group captive and third-party routes. Businesses can also review solar farm solutions and industrial rooftop solar as part of a broader strategy.
What Is Open Access Solar?
Open access solar is a scheme established by the Electricity Act 2003 of India, which enables large commercial and industrial customers to have direct access to the electricity generated by the generators through solar energy, which are off-site. With the help of a formal Power Purchase Agreement (PPA), eligible businesses can purchase open access renewable energy via the state or national grid, without relying solely on the local distribution companies (DISCOMs). The solar power plant is constructed and run in a different location either a solar park or a specially ground mounted site. Energy produced therein is fed into the grid and measured at your plant. You are charged the units you use the generator, and other transmission, wheeling and grid fees. With such charges, the landed cost of open access solar power is usually 20 to 40 percent less than the industrial grid tariffs. This model is particularly powerful for businesses that have high energy demand but cannot install enough on-site solar to cover it, or where rooftop installations are impractical due to space, structural, or operational constraints.
Who Should Evaluate Open Access
- C&I consumers with meaningful and predictable electricity demand.
- Businesses with limited rooftop or on-site land capacity.
- Multi-location organisations seeking off-site renewable supply.
- Companies seeking long-term renewable procurement.
- Consumers in states where current rules and landed cost are suitable.
How Open Access Solar Power Works
Open Access Solar Power is where a company can get solar energy from a distant solar energy facility through the electricity grid. This will involve first checking out the usage, load profile, tariff, and feasibility of the project. After this, the right solar power project and business model, which could be a captive, group captive, or a third-party PPA model, are chosen. All open access permissions, grid connection, scheduling, and metering processes are sorted out before the power supply takes place to the consumer company.
Different Models of Open Access Solar
| Model | Ownership and Supply | Main Review |
|---|---|---|
| Captive | Consumer invests in and uses project power | Ownership, consumption, finance and operations |
| Group captive | Several qualifying consumers participate | Equity and consumption compliance |
| Third-party PPA | Developer sells power under contract | Tariff, term, credit, charges and payment security |
| Inter-state or intra-state | Power crosses boundaries or remains in one state | Regulator, scheduling and grid charges |
Three Open Access Solar Procurement Models
Open access solar is not a single product. The right structure depends on your load size, capital strategy, risk tolerance, and interest in asset ownership. GSE Renewables works with all three primary models.
| Model | Who It Suits | Key Advantage |
|---|---|---|
| Captive Open Access | Large single consumer with 1 MW+ load. Company invests 100% and owns the plant. | Full control over power cost. No surcharges on captive power. Accelerated depreciation benefit. |
| Group Captive Solar | Multiple C&I consumers pooling investment. Each must hold at least 26% equity and consume 51% of output. | Lower landed cost vs third-party. Shared CapEx and reduced surcharge liability for qualifying participants. |
| Third Party Open Access (PPA) | Businesses seeking zero upfront investment. Long-term PPA with an Independent Power Producer (IPP) like GSE Renewables. | No CapEx required. Immediate savings from day one. Ideal for businesses prioritising cash flow over asset ownership. |
Inter-State Open Access: Power is transmitted across state boundaries governed by the Central Electricity Regulatory Commission (CERC). This model gives businesses access to solar resources in high-irradiation states regardless of where their facility is located.
Intra-State Open Access: Both the generator and the consumer are within the same state. Governed by the respective State Electricity Regulatory Commission (SERC), this is typically the faster and simpler route for most C&I consumers.
Open Access (OA) Solar Models Comparison
| Feature | Captive Open Access | Group Captive Open Access | Third-Party Open Access |
|---|---|---|---|
| Ownership | Single consumer owns ≥26% of the project | Multiple consumers jointly own ≥26% | Developer owns 100% of the project |
| Power Consumption Requirement | Consumer must consume ≥51% of generated power annually | Captive users jointly consume ≥51% of generated power | No ownership or consumption requirement |
| Upfront Investment | High | Moderate (shared among consumers) | None or minimal |
| Best For | Large industries with high electricity demand | Multiple businesses with moderate demand | Businesses seeking zero CAPEX solar |
| Electricity Tariff | Lowest long-term cost | Lower than grid tariff | Fixed tariff under Power Purchase Agreement (PPA) |
| Operational Responsibility | Consumer/Asset Manager | Shared among captive partners | Solar developer |
| Typical Contract Period | 20–25 years | 20–25 years | 10–25 years (PPA based) |
| Main Benefit | Maximum savings and asset ownership | Shared investment with captive benefits | Immediate savings without capital investment |
Understanding the Real Landed Cost of Open Access Solar Power
| Charge Type | What It Covers |
|---|---|
| Solar Generation Tariff | The price agreed in the PPA with the solar plant developer for the energy generated. |
| Transmission Charges | Fees for using the high-voltage transmission network to wheel power from the plant to your facility. |
| Wheeling Charges | Fees charged by the DISCOM for using the distribution network for the final leg of delivery. |
| Cross-Subsidy Surcharge (CSS) | A charge that may apply under third-party open access to compensate the DISCOM for reduced revenue. Exempt or reduced under captive and group captive structures in many states. |
| Additional Surcharge | Applicable in some states where the DISCOM has stranded costs. Varies considerably and is one of the key state-selection factors. |
| SLDC and Scheduling Charges | Fees for scheduling and dispatch through the State Load Despatch Centre. |
Why GSE Renewables
15+ years of solar execution experience
End-to-end project management
Transparent CAPEX / OPEX guidance
Strong O&M and monitoring support
Frequently Asked Questions
It allows an eligible consumer to buy renewable electricity from an off-site project and receive it through the transmission or distribution network under applicable rules and contracts.
Current central Green Energy Open Access Rules reference contracted demand or sanctioned load of 100 kW and above under defined conditions. State implementation and amendments must be checked.
Captive involves consumer ownership, group captive involves qualifying shared ownership and consumption, and third-party uses a PPA with a developer-owned project.
The final cost may include generation tariff, transmission, wheeling, losses, scheduling, cross-subsidy surcharge, additional surcharge, banking and state-specific charges.
No. Central rules provide a framework, but state charges, banking, approvals, settlement and timelines vary. The core page should link to current state-specific pages.