Petition of Adoption of Tariff for long term procurement of 780 MW Wind – Solar Hybrid Power from NTPC – EQ
Summary:
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## **Case Details**
* **Commission:** Maharashtra Electricity Regulatory Commission (MERC)
* **Petitioner:** *Maharashtra State Electricity Distribution Company Ltd. (MSEDCL)*
* **Respondent:** *NTPC Ltd.*
* **Case No.:** 123 of 2024
* **Order Date:** 10 September 2025
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## **Petition Summary**
* **Objective:** Approval for long-term procurement of **780 MW Wind–Solar Hybrid Power** from NTPC under *development mode*.
* **Tariff Discovery:** Competitive bidding by NTPC → e-reverse auction (Dec 2023) → **₹3.35–3.36/kWh + ₹0.07 trading margin = ₹3.42–3.43/kWh**.
* **Power Sale Agreements (PSAs):** Initially 480 MW (Sprng Vayu Vidyut 250 MW; Juniper Green Beta 230 MW), later expanded by 300 MW (ACME Renewtech 300 MW).
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## **Regulatory & Compliance Context**
* **Legal Basis:** Section 63, Electricity Act 2003 + MERC (RPO Regulations, 2019) & 2024 Amendment.
* **RPO Compliance:**
* *As on FY 2023–24*: MSEDCL had a **cumulative shortfall of 37,154 MU** (13,649 MU solar, 23,505 MU non-solar).
* Future RPO trajectory (2024–2030) requires **Wind RPO, Hydro Power Obligation (HPO), Distributed RPO, Other RPO** targets rising to **43.33% by FY 2029–30**.
* **Resource Adequacy:**
* CEA’s RA study shows need for **~37 GW additional capacity by 2033–34** for MSEDCL, including 12 GW wind and 5.5 GW solar.
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## **Commission’s Analysis**
* **Quantum Justification:** 780 MW procurement aligns with RA requirements and helps meet RPO targets, reducing costly peak power reliance.
* **Tariff Competitiveness:**
* NTPC discovered tariff (₹3.42–3.43/kWh) < MERC-adopted tariff in earlier tenders (₹3.60/kWh for hybrid projects).
* Landed cost at Maharashtra periphery ~₹3.52/kWh, still competitive vs APPC of ₹4.88/kWh.
* **Trading Margin:** MERC allowed **₹0.07/kWh**, as per CERC trading guidelines.
* **Transmission Corridor:** Responsibility placed on **MSEDCL** to secure GNA/STU clearances and coordinate transmission strengthening.
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## **Final Order**
1. **Approval granted** for 780 MW procurement from NTPC.
2. **Tariff adopted:** ₹3.42–3.43/kWh (including trading margin) for **25 years**.
3. Procured power will **count toward MSEDCL’s RPO compliance**.
4. MSEDCL to furnish copies of PSAs to MERC.
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## **Key Takeaways**
* This order supports **MSEDCL’s RPO compliance** and reduces reliance on expensive short-term conventional power.
* It locks in **long-term renewable capacity at a competitive rate** (among the lowest hybrid tariffs seen).
* Sets precedent for **using NTPC as intermediary procurer**, with trading margin fixed under CERC rules.
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