COVID-19 crisis: Govt grants 5 months’ extension to RE projects under implementation

The government has granted renewable energy (RE) projects an extension of five months in the scheduled commissioning date in view of the COVID situation
COVID-19 crisis: Govt grants 5 months’ extension to RE projects under implementation
  • The notification has asked all the implementing agencies of MNRE to treat the lockdown period imposed to contain the spread of COVID-19 pandemic as force majeure

  • All RE projects shall be given a time extension of 5 (five) months from 25th March 2020 to 24th August 2020, the MNRE order said

New Delhi: The government has granted renewable energy (RE) projects an extension of five months in the scheduled commissioning date in view of the COVID situation, a notification by the Ministry of New and Renewable Energy said on Thursday. The notification has asked all the implementing agencies of MNRE to treat the lockdown period imposed to contain the spread of COVID-19 pandemic as force majeure and give RE developers a time extension of five months, from March 25 to August 24.

In April, the MNRE had granted a 30-day blanket extension beyond the lockdown period for RE projects.

MNRE gives RE projects blanket extension

The notification released by the MNRE said, "All RE projects under implementation as on the date of lockdown, i.e. 25th March 2020, through RE Implementing Agencies designated by the MNRE or under various schemes of the MNRE, shall be given a time extension of 5 (five) months from 25th March 2020 to 24th August 2020. This blanket extension, if invoked by the RE developers, will be given without case to case examination and no documents/evidence will be asked for such extension."

The timelines for intermediate milestones of a project may also be extended within the extended time provided for commissioning, said the official order.

"The Developers, of the projects covered under para 3(b) above, may also pass on the benefit of such time-extension, by way of granting similar time-extensions, to other stakeholders down the value chain like Engineering Procurement Construction (EPC) contractors, material, equipment suppliers, Original Equipment Manufacturers (OEMs), etc," it added.

'State govts can also grant appropriate extension'

While stating that state renewable energy departments can also treat the lockdown period as force majeure, the order said, "State Renewable Energy Departments… may consider granting appropriate time extension on account of such lockdown."

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