RE Projects can get Further Extension in Exceptional Cases: MNRE

MNRE has stated that RE projects under implementation during lockdown can seek to get a further extension beyond 5 months in exceptional cases

The Ministry of New and Renewable Energy (MNRE) in its latest order has stated that renewable energy (RE) projects under implementation as on the date of lockdown, i.e. March 25, 2020, through RE Implementing Agencies designated by the MNRE or under various schemes of the ministry can seek to get a further extension beyond 5 months if granted by the implementing agencies in exceptional cases.

The ministry has specified that the additional extension for the projects will be granted by the implementing agencies after due diligence and careful consideration of the specific circumstances of the case, and if allowed in terms of the provisions of the relevant contract. 

MNRE Grants Blanket 5-Month Extension for RE Projects due to COVID-19

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And it further clarified that “it is also emphasised that this further extension beyond 5 months will not be granted in a routine manner.”

In its earlier order issued in August 2020, the MNRE had issued directions to treat lockdown due to COVID-19, as Force Majeure. It was also instructed that 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 months from 25th March 2020 to 24th August 2020. 

This blanket extension, if invoked by the RE developers, was given without case to case examination and no documents/ evidence was to be asked for such extension.

The ministry states that it had since received requests for further extension beyond 5 months on account of COVID-19. After examining the request, the ministry decided that since it has already issued instructions for a blanket extension of 5 months on account of COVID-19 without case to case examination and without asking for any documents/evidence. “Any further extension beyond the 5 months can be granted by implementing agencies in exceptional cases and after careful consideration.”