UPERC Approves 19.7 MW Solar PPAs At INR 2.91–INR 2.99 per Unit Under PM-KUSUM In Uttar Pradesh

The Uttar Pradesh Electricity Regulatory Commission (UPERC) has approved ten power purchase agreements (PPAs) and adopted tariffs for a cumulative solar power capacity of 19.7 MW under Component C-2 of the Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabhiyan (PM-KUSUM) Scheme. The approval was granted in Petition No. 2412 of 2026, jointly filed by the Uttar Pradesh Power Corporation Limited (UPPCL) and the U.P. New and Renewable Energy Development Agency (UPNEDA).

The approved projects aim to support feeder-level solarization by supplying reliable daytime electricity to agricultural consumers. Under Component C-2 of the PM-KUSUM scheme, grid-connected solar power plants are installed to supply electricity through segregated agricultural feeders, helping reduce dependence on conventional power sources for agricultural electricity demand.

The procurement process was conducted through a Tariff Based Competitive Bidding (TBCB) framework managed by UPNEDA. Following the bidding process, a Bid Evaluation Committee evaluated the submissions and identified the successful developers. Letters of Award were subsequently issued to the selected companies, and the resulting PPAs were placed before the Commission for approval.

The approved tariffs range from ₹2.91 to ₹2.99 per kWh, reflecting the rates determined through the competitive bidding process. The participating developers include Divy Power Private Limited, Thind Solar Private Limited, Shakti Renews Private Limited, Babna Solar Energy Private Limited, Choumuhan Solar Energy Private Limited, Khospura Solar Energy Private Limited, Nanauta Solar Energy Private Limited, Bhaskar Renewable Energy Private Limited, and M/s APS Developers.

The projects are spread across several districts of Uttar Pradesh, including Hapur, Amroha, Kanpur Nagar, Farrukhabad, Mathura, Saharanpur, and Chitrakoot. The approval enables the participating entities to proceed with the contractual arrangements required for implementing the projects in accordance with the applicable terms and conditions.

During the proceedings, UPERC also examined the status of earlier project allocations under the broader solarization programme. The Commission noted that some previously issued Letters of Award had been cancelled because the concerned developers failed to submit the required bank guarantees. These guarantees form part of the safeguards intended to ensure compliance with bidding requirements and project commitments.

In response, the Commission directed UPPCL to pursue the cases involving defaulting entities and take appropriate action to forfeit the applicable bank guarantees. The recovered amounts must be deposited with the Ministry of New and Renewable Energy (MNRE) in accordance with the relevant guidelines.

The latest order adds to the number of PPAs approved under the state’s ongoing agricultural feeder solarization initiative. UPERC emphasized that timely implementation of the sanctioned projects would support the objectives of the PM-KUSUM scheme, improve the availability of daytime electricity for farmers, and help optimize UPPCL’s power procurement expenses.

The initiative is expected to contribute to the expansion of distributed solar generation across Uttar Pradesh while supporting agricultural electricity supply and delivering potential benefits to electricity consumers throughout the state.