Tariff Ceiling Set at ₹2.52/kWh For Wind Tender in Maharashtra

MSEDCL gets approval to issue tender for short-term procurement of wind energy


The Maharashtra Electricity Regulatory Commission (MERC) has approved the tariff proposed by Maharashtra State Electricity Distribution Company Limited (MSEDCL) for the short-term procurement of 250 MW of wind power under non-solar renewable purchase obligations (RPO).

The MERC has approved the changes proposed by the MSEDCL to the wind bidding guidelines issued by Ministry of Power in December 2017.

Changes Proposed by MSEDCL and Accepted by MERC

  • The power purchase agreement (PPA) period will be 8 years from the date of execution of the PPA.
  • Both existing as well as proposed intra-state wind power projects of minimum 1 MW capacity that are to be commissioned on or before March 31, 2019 will be eligible to participate in the proposed tender by MSEDCL.
  • The declared annual capacity utilization factor (CUF) will be a minimum of 17 percent.
  • Repowering will be allowed with prior approval of MSEDCL and only once for a maximum period of 6 months in the PPA term of 8 years.

MSEDCL had requested MERC to approve ₹2.52 (0.036)/kWh as the ceiling tariff for this tender and MERC ruled in its favor.

The MSEDCL had petitioned MERC as wind energy purchase agreements (EPAs) aggregating 628.7 MW expired in financial year (FY) 2017-18 and FY 2018-19. Moreover, 52.75 MWs are expiring in FY 2017-18 and balance of 575.95 MW will be expiring in FY 2018-19.

Recently, MERC also approved the tariff proposed by MSEDCL for the long-term procurement of 500 MW of wind power under non-solar renewable purchase obligations (RPO).

Earlier, Mercom reported that (MSEDCL)’s 1 GW grid-connected solar PV tender had been oversubscribed by 450 MW. The MSEDCL had retendered 1,000 MW of grid-connected solar PV projects to meet its Renewable Purchase Obligation (RPO) in April 2018.

Saumy Prateek Saumy is a senior staff reporter with MercomIndia.com covering business and energy news since 2016. Prior to Mercom, Saumy was a copy editor at Thomson Reuters. Saumy earned his Bachelors Degree in Journalism & Mass Communication from the Manipal Institute of Communication at Manipal University. More articles from Saumy Prateek.