**Executive Summary**
The Central Electricity Regulatory Commission (CERC) has notified the escalation and discount rates applicable to transmission services for the period from April 1, 2026, to September 30, 2026. These rates are issued in accordance with the Ministry of Power’s guidelines for tariff-based competitive bidding and standard transmission service agreements. The notification establishes specific percentages for payment inflation and relief calculations during construction periods.
**Key Points / Main Content**
**Escalation Rate for Transmission Payments**
* **Applicability:** Applies to the "Tariff-based Competitive-bidding Guidelines for Transmission Service" and Schedule-7 of the Standard Transmission Service Agreement.
* **Annual Inflation Rate:** The annual inflation rate for escalable transmission charges for the purpose of payment is set at 3.59%.
**Discount Rate for Relief and Construction Period**
* **Regulatory Context:** In accordance with Schedule-9 of the Standard Transmission Service Agreement and the revised guidelines for Inter-State Transmission Services (ISTS) dated August 6, 2021.
* **Discount Rate:** A discount rate of 9.17% is notified for determining relief under Force Majeure events and Changes in Law during the construction period.
**Impact Analysis**
**Transmission Service Providers (TSPs)**
**Impact**
TSPs involved in Inter-State Transmission Services (ISTS) through Tariff Based Competitive Bidding (TBCB) are directly affected by these financial parameters. Their escalable transmission charges and calculations for relief during the construction period will be governed by these specific rates for the six-month duration starting April 2026.
**Action Required**
TSPs must apply the 3.59% escalation rate to their relevant transmission charges for billing and the 9.17% discount rate when calculating relief claims related to Force Majeure or Change in Law events occurring during the construction phase.
**Central Electricity Regulatory Commission (CERC) / Power Sector Authorities**
**Impact**
The Commission is responsible for the formal notification and oversight of these rates to ensure standardized financial adjustments across the transmission sector.
**Action Required**
The authorities must ensure these rates are integrated into the payment and relief determination frameworks for all applicable transmission service agreements during the specified period.
Key Entities Referenced
Central Electricity Regulatory Commission (CERC): The primary regulatory body responsible for notifying escalation and discount rates for transmission services as per established guidelines.
Standard Transmission Service Agreement (TSA): The contractual framework whose schedules govern the application of annual inflation and discount rates for transmission charges and relief.
Tariff-based Competitive-bidding Guidelines for Transmission Service: The policy issued by the Ministry of Power that provides the basis for notifying escalation rates for transmission service payments.
Revised Guidelines and Standard Bidding Documents (SBDs) for ISTS: Guidelines for the procurement of Inter-State Transmission Services through Tariff Based Competitive Bidding, used to determine relief for force majeure events.
रजिस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99
सी.जी.-डी.एल.-अ.-13042026-271760
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असाधारण
EXTRAORDINARY
भाग III—खण् ड 4
PART III—Section 4
प्राजधकार स ेप्रकाजित
PUBLISHED BY AUTHORITY
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[जवज्ञापन-III/4/असा./28/2026-27]
CENTRAL ELECTRICITY REGULATORY COMMISSION
NOTIFICATION
New Delhi, the 30th March, 2026
No. Eco T1/2026-CERC.— In pursuance of the "Tariff-based Competitive-bidding Guidelines for
Transmission Service", amended up to 10th October 2008, issued by the Ministry of Power and Schedule-7
of the Standard Transmission Service Agreement documents, the Central Electricity Regulatory
Commission (CERC) hereby notifies the following escalation rate for the purpose of payment for the
period from 01.04.2026 to 30.09.2026.
Annual Escalation Rate applicable for the purpose of payment as per the Transmission Service
Agreement:
S. No. Description Annual Escalation Rate for
Payment
1. Annual inflation rate for escalable transmission charges for 3.59%
the purpose of payment
2. In accordance with Schedule-9 of the Standard Transmission Service Agreement under the
"Revised Guidelines and Standard Bidding Documents (SBDs) for procurement of lnter-State
Transmission Services (ISTS) through Tariff Based Competitive Bidding (TBCB) process" dated 6th
August 2021 issued by the Ministry of Power, the CERC hereby notifies the following discount rate for the
period from 01.04.2026 to 30.09.2026.
Discount rate for determining the Relief under Force Majeure Event & Change in Law during the
Construction Period as per the Transmission Service Agreement:
S. Description Discount Rate
No.
1. Discount rate for determining the Relief under Force 9.17%
Majeure Event & Change in Law during the Construction
Period
HARPREET SINGH PRUTHI, Secy.
[ADVT.-III/4/Exty./28/2026-27]
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.