Who verifies captive status for financial year (FY) 2025-26 and FY 2026-27: the Central Electricity Authority, the National Load Despatch Centre (NLDC) or the state?
Per the explanatory note to the 2026 rules, inter-state captive consumption up to FY 2025-26 is verified by the Central Electricity Authority. From FY 2026-27 the National Load Despatch Centre verifies inter-state cases and the state's nodal agency verifies intra-state ones.
The split
- Inter-state, electricity consumed up to FY 2025-26: Central Electricity Authority.
- Inter-state, from FY 2026-27: NLDC, "in accordance with the procedure issued by the NLDC with approval of the Central Government".
- Intra-state, from FY 2026-27: the nodal agency designated by the State Government, under its own procedure.
- Rule 3(4)(a) puts it by place: plant and users in one State go to the nodal agency; in more than one State go to the NLDC.
Gap in the source
The note names who verifies intra-state consumption from FY 2026-27. It does not say who verified intra-state consumption for earlier years, so check that with your state before you assume a body.
While verification is pending
Rule 3(4)(c): cross-subsidy surcharge and additional surcharge are not levied pending verification, subject to the declaration furnished under the procedure. The rules do not say whether this applies to FY 2025-26 consumption verified by the Central Electricity Authority. If the plant then fails for the year, the surcharges are payable with carrying cost.
Example: one plant, two years
- A plant in one State supplies a factory in another (an example)
- Consumption in FY 2025-26: verified by the Central Electricity Authority
- Consumption in FY 2026-27: verified by the NLDC under its procedure
The plant is an example. The verifying bodies are the explanatory note's.
What Senseible does here
Senseible reads electricity bills into monthly records. It does not test captive status; the verifying body named above does.
- Surcharge cap at 20% of cost of supply
- Captive plant fails the 51% test
- Group captive rules for solar
- Group captive solar and Scope 2
- Free carbon calculators
Last reviewed 2026-11-05. Rule 3 of the Electricity Rules, 2005 as substituted by G.S.R. 186(E), 13 March 2026; parts in force from 1 April 2026. Checked 5 November 2026. Check the state nodal agency's or the National Load Despatch Centre's procedure before you file.