The government of Andhra Pradesh has made amendments to the Andhra Pradesh Solar Power Policy, 2018; Andhra Pradesh Wind Power Policy, 2018; and Andhra Pradesh Wind-Solar Hybrid Power Policy, 2018 to the effect that the tariff for solar, wind power projects or solar-wind hybrid projects or any other variable renewable energy project should not exceed the difference between pooled variable cost and balancing cost, which will be determined by Andhra Pradesh Electricity Regulatory Commission (APERC).

The tariff for solar rooftop projects for net or gross metering must not exceed the difference of pooled variable cost and balancing cost or the applicable tariff at the time of Commercial Operation Date (CoD) whichever is less.

Moreover, the transmission and distribution charges should be determined by the APERC for connectivity to the nearest Central Transmission Utilities and State Transmission Utilities (STUs) for inter-state wheeling of power and via STUs for intra-state wheeling.

All government land allotments for renewable energy projects should be made on lease-hold basis and it has withdrawn the facility of energy banking and drawl from all the generators. Also any injection of energy between synchronisation and declaration of CoD will be treated as inadvertent power and no cost be paid for it by the DISCOMs.