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CEA Issues Procedure for Captive Status of Inter-State Generating Stations

The Central Electricity Authority (CEA) vide Office Order dated 10-02-2025 has released a long-awaited procedure outlining the framework for determining the captive status of inter-state generating stations supplying power to captive users across multiple states.

CEA in exercise of the powers conferred under sub-rule(3) of Rule 3 of the Electricity Rules, 2005, with the approval of Central Government, issues the “Procedure for verification of captive status of such generating plant, where Captive generating Plant and its Captive User(s) are located in more than one State.”

This procedure aims to streamline compliance requirements and bring clarity to the verification process for such generators. The new guidelines are expected to address longstanding ambiguities regarding captive status, especially for projects with diverse ownership structures and power distribution spread over different states. This move is likely to enhance regulatory transparency and support the growth of captive power generation in India’s evolving energy landscape.