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RegulationOct 2026

Rajasthan Doubles the Captive Solar Ceiling to 200% of Contract Demand

Under the RERC (Green Energy Open Access) Regulations 2025, Rajasthan has raised the cap on captive solar from 100% to 200% of contract demand. A 4,000 kVA factory can now build 8,000 kW instead of 4,000 kW, but the extra headroom comes with a condition.

Rajasthan's captive solar cap rises from 100% of contract demand (until May 2025) to 200% under GEOA Regulations 2025
Rajasthan's captive solar cap rises from 100% of contract demand (until May 2025) to 200% under GEOA Regulations 2025
A 4,000 kVA factory: 4,000 kW allowed before, 8,000 kW now; the extra 4,000 kW isn't free
A 4,000 kVA factory: 4,000 kW allowed before, 8,000 kW now; the extra 4,000 kW isn't free
What's the price of 200%? The extra headroom above the old ceiling comes with a condition
What's the price of 200%? The extra headroom above the old ceiling comes with a condition

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Rajasthan has doubled the ceiling on captive solar, from 100% to 200% of a consumer's contract demand. Until May 2025, a factory with a 4,000 kVA contract demand could build at most 4,000 kW of captive solar. Under the new rules, the same factory can build 8,000 kW.

The change comes from the RERC (Green Energy Open Access) Regulations 2025, Regulation 5. It applies to new captive renewable plants, including behind-the-meter installations.

What changed: 100% to 200%

  • Then (until May 2025): captive solar size was capped at 100% of contract demand. Anything above that was not allowed.
  • Now (GEOA Regulations 2025): the ceiling is 200% of contract demand, an extra 100% of headroom above the old ceiling.

Here kW means inverter AC capacity, and contract demand is converted from kVA to kW at unity power factor.

Worked example: a 4,000 kVA factory

Same contract demand, twice the solar. Before May 2025, the 4,000 kVA factory stopped at 4,000 kW. Under the GEOA Regulations 2025 it can add another 4,000 kW on top, for 8,000 kW in total.

Solar EPCs should expect their clients to ask for the bigger plant. But the extra 4,000 kW isn't free.

The extra headroom comes with a condition

The additional capacity between 100% and 200% of contract demand is attached to a condition that most proposals misread. Before an EPC sizes a Rajasthan captive plant to the new ceiling, it is worth checking what the regulation requires in exchange for that headroom, and pricing it into the proposal rather than discovering it after the plant is designed.

For EPCs who want to see where a specific client stands, Ingro Sims can run a Position Check from a client's contract demand and planned solar size.

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