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Home » Policy » Ministry of Power Extends RCO Compliance Deadline for FY25 to May 31, 2026
Policy

Ministry of Power Extends RCO Compliance Deadline for FY25 to May 31, 2026

ManshiBy ManshiApril 20, 20263 Mins Read
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Ministry of Power extends RCO compliance deadline to May 2026, offering relief to industries facing submission challenges.

The Ministry of Power has once again extended the deadline for submitting RCO compliance reports for the financial year 2024–25. As per an official order dated April 16, 2026, obligated entities now have until May 31, 2026 to complete and submit their compliance details.

The extension follows multiple representations from Designated Consumers (DCs), routed through the Bureau of Energy Efficiency, highlighting operational and reporting challenges that hindered timely submission of data.

“In view of the challenges faced by obligated entities… it has been decided to extend the timeline… up to 31.05.2026,” the Ministry stated in its official communication.

Extension Driven by Implementation Challenges

The Renewable Consumption Obligation  or RCO compliance, introduced as part of India’s broader energy transition strategy, is still in its initial phase of implementation. Industry stakeholders have raised concerns related to data readiness, reporting formats, and audit processes, especially during the first year of compliance.

This is not the first extension granted for FY2024–25. The compliance timeline has been revised multiple times through 2025, reflecting the practical difficulties faced by industries in aligning with the new regulatory requirements.

What RCO Means for Industry

The Renewable Consumption Obligation is a policy tool that makes sure that at least a certain amount of renewable energy is used in all electricity use. It has been reported to the Energy Conservation Act and is for a large number of specific customers.

The old Renewable Purchase Obligation (RPO) only applied to utilities, but the new RCO applies to energy-intensive industries like steel, cement, aluminium, and railroads. This makes renewable energy use a requirement for the whole economy.

Compliance Pathways and Reporting Requirements

Entities are required to meet their RCO targets through multiple pathways, including:

  • Direct procurement of renewable energy
  • Captive renewable power generation
  • Purchase of Renewable Energy Certificates (RECs)

The framework also mandates detailed energy accounting, third-party verification by accredited auditors, and certification through State Load Dispatch Centres (SLDCs) for distribution companies.

Failure to meet targets or submit compliance reports may attract penalties under the Act, while any shortfall must be addressed within a specified timeline.

Communication and Advisory to Stakeholders

The Ministry has sent the extension notice to important organisations, such as the Central Electricity Authority, the State Electricity Regulatory Commissions, and the DISCOMs. Also, major industry groups like FICCI, CII, and ASSOCHAM have been told.

Obligated entities have been advised to utilize the extended timeline effectively and ensure accurate and timely submission of compliance reports.

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#policyupdate discoms energy ficci India News Renewable Consumption Obligation renewable energy
Manshi
  • Website

I'm journalism graduate with professional experience working across different news websites. I have been involved in news reporting, content writing, and digital media coverage, which has helped me develop a strong understanding of current affairs and storytelling. Currently, I am working with Battery Magazine, where I continue to create accurate, engaging, and reader-focused news content.

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