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The Maharashtra Electricity Regulatory Commission (MERC) has approved the tariff proposed by Maharashtra State Electricity Distribution Company Limited (MSEDCL) through the competitive bidding process, priced at of ₹2.89/kWh and ₹2.90/kWh for the purchase of solar power.
The solar power thus procured will be used for the fulfillment of Maharashtra State Electricity Distribution Company Limited’s (MSEDCL) solar renewable purchase obligation (RPO). The tariffs proposed are in line with the changing market trends.
Through this procurement, MSEDCL is trying to fulfill its shortfall in solar RPO targets by purchasing solar Renewable Energy Certificates (RECs) as its shortfall currently stands at 3,468 million units, according to a news media report. In March 2019, MERC had ordered MSEDCL to purchase solar power and renewable energy certificates by the end of March 2020, to fully meet its standalone and cumulative deficit of RPOs.
As recently, MSEDCL had issued a tender for the long-term procurement of power from 500 MW of intra-state grid-connected solar power projects (Phase – V) by setting the ceiling tariff of ₹2.90 (~$0.041)/kWh for this tender. The last date for submission of bids for the RfS is January 28, 2020.
According to Mercom India Solar Project Tracker, Maharashtra has 1.6 GW of large-scale solar projects in operation and 2 GW of projects under development, as stated by a news report.