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Haryana RE policy 2005

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Nodal Agency

Haryana Renewable Energy Development Agency (HAREDA)

Applicable Technologies

  •  Biomass &Bagasse cogeneration
  •  Small hydro
  •  Wind energy
  •  MSW to energy

Policy Period

Operative until new policy is notified


All new projects will be treated as “industry” as per Industrial Policy, 2005, and be eligible to the same incentives

Eligible Entities

Developers using wind-electric generators, biomass combustion, co-generation, municipal and industrial waste, small hydro (upto 25 MW) and new technologies like bio-oil, fuel cell etc.

Provision for Banking

Banking shall be allowed for a one year period by licensee/utilities, free of cost. Withdrawal of banked power would be allowed only during non-peak hours.


  • Local area development tax shall not be applied on plant, machinery and equipments

  • No royalty will be charged for power generation through micro/mini/small hydel plants.

  • Power generation and its sale to licensee/utilities, third party, or for captive use, shall be exempted from electricity duty




Grid interfacing

  • Interfacing, including transformers, C & R panels duly equipped with requisite protection,marshalling and protection of kiosks, , metering, high tension inter-connection points from the points of generation to HVPN, UHBVN, DHBVN and any other licensee nearest Light/High tension lines, etc., as well as maintenance of LT lines will be undertaken by the producer as per specifications and requirements of the licensee/utilities, for which he will bear the entire cost.

  • Alternatively, those works and their maintenance could be undertaken by the licensee/utilities on behalf of power producers at a cost.

  • Depending upon the generation capacity, transmission lines are to be provided -e.g., if the sub-station capacity at 33/11 kV or higher levels is required to be augmented to 66 kV or higher.
  • Two sets of separate meters - main meters and check meters - will be installed on the HT side by the producer. In case of cogeneration/captive power generation, two sets of separate meters will be installed, one for export and the other for import of power.
  • Necessary current limiting devices will be installed in the generating equipment by the producer. Capacitors of sufficient rating will also be provided in the equipment to ensure that the power factor is always maintained above 0.8.

Wheeling charges

  • Will be applicable on captive use or forthird party sale within the state as per approved tariff, including surcharge, additional surcharge, if any, as notified by HERC from time to time.
  • With respect to third party sale, the licensee/utilities would have preference and third party sale would be allowed when the surplus power is not being evacuated by the licensee/utilities. 

Fuel/raw-material for cogeneration plants

  • The use of conventional fossil fuels in cogeneration projects may be necessary during the off-season period to augment non-fossil fuels and therefore, the use of same shall be allowed as per MNRE policy, amended from time-to-time.
  •  The “fuel cost pass through” on this account shall not be permitted as tariff in these cases will be fixed, taking into consideration the normal availability of non-fossil fuel for 240 days per annum, only. 

Land for projects

  • The state govt. will acquire land at the cost of Independent Power Producers (IPP) if requested.
  •  Renewable energy power projects in the agriculture zone will be permitted by the Town & Country Planning Department without levying conversion charges.

Tax/Duty exemptions

Not available

Provision for policy review

Not available



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