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SAEL Industries Seeks Power Cost Relief for INR 8,000 Crore Solar Manufacturing Project in Uttar Pradesh

May 11, 2026
SAEL Industries Seeks Power Cost Relief for INR 8,000 Crore Solar Manufacturing Project in Uttar Pradesh

SAEL Industries, through its subsidiary SAEL Solar P6 Private Limited, has approached the Uttar Pradesh Electricity Regulatory Commission seeking regulatory relief for its proposed ₹8,000 crore solar manufacturing project in Uttar Pradesh.

The company plans to establish an integrated 5 GW photovoltaic cell and module manufacturing facility in the state, aimed at strengthening India’s domestic solar manufacturing ecosystem under the Atmanirbhar Bharat initiative.

In its petition, SAEL has requested exemptions from transmission, wheeling, and banking charges applicable to large power consumers. The company has also sought relaxation from Time of Day (ToD) restrictions, enabling the use of banked solar power during peak demand hours without additional charges.

According to the company, electricity remains one of the largest operational costs in solar cell manufacturing, and access to stable, affordable power is essential to remain competitive in the global market, where international manufacturers continue to benefit from significant government subsidies.

SAEL has further requested approval to establish a captive power generation plant with capacity exceeding the standard 125 percent contract demand limit, citing the high energy intensity of integrated solar manufacturing operations.

The proposed project aligns with the Government of India’s Atmanirbhar Bharat Policy 2020 and the Uttar Pradesh Industrial Investment and Employment Promotion Policy 2022. While the state government has already extended preliminary support through a Letter of Comfort, the company is now seeking additional regulatory concessions from the Commission.

During the hearing held on April 28, 2026, the Commission observed that some of the requested exemptions may conflict with the existing 2024 regulations governing captive and renewable energy projects. However, after hearing the company’s legal counsel, the Commission admitted the petition for further proceedings.

The respondents, including Uttar Pradesh Power Corporation Limited and Uttar Pradesh Power Transmission Corporation Limited, have been granted three weeks to file their responses. The next hearing in the matter is scheduled for June 9, 2026.

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