The Maharashtra Electricity Regulatory Commission (MERC) has approved tariffs ranging from ₹5.30 (~$0.0565)/kWh to ₹5.90 (~$0.0629)/kWh for the procurement of round-the-clock renewable energy.

The approval relates to a petition filed by Mindspace Business Parks, Gigaplex Estate, and KRC Infrastructure and Projects.

The Commission approved procurement of up to 8 MW under power purchase agreements signed with Energy Edge Power Trading. The capacity allocation includes 4 MW for Mindspace, and 2 MW each for Gigaplex and KRC Infrastructure.

The procurement period is set for 11 months, from January 1, 2026, to November 30, 2026. The Commission directed the petitioners to submit the final signed power purchase agreements for the record. The tariff was adopted under Section 63 of the Electricity Act, 2003.

Background

The petitioners sought approval of the power purchase agreements and adoption of tariffs discovered through competitive bidding. Based on gross energy consumption analysis, the petitioners estimated a base load requirement of about 4 MW for Mindspace and approximately 1.7 MW each for Gigaplex and KRC Infrastructure.

These requirements were rounded to 2 MW each, resulting in a total requirement of about 8 MW.

The need for procurement arose after the expiry of existing wind power purchase agreements in November 2025. Mindspace acted as the lead procurer and issued the tender.

Only one bidder, Energy Edge Power Trading, participated in the bidding process. The company sourced power from Mahakaushal Sugar and Power Industries, a bagasse-based cogeneration facility in Madhya Pradesh.

The initial quoted tariff of ₹6 (~$0.064)/kWh was reduced to a discovered range of ₹5.30 (~$0.056) to ₹5.90 (~$0.062)/kWh, depending on the month. A Letter of Award was issued on November 13, 2025, and the power purchase agreements were executed on November 26, 2025.

Power supply will be routed through a 33 kV line connected to the 220 kV Narsinghpur substation of Madhya Pradesh Power Transmission Company.

Commission’s Analysis

The Commission noted that the petitioners are deemed distribution licensees operating in Special Economic Zones under the regulatory framework.

It accepted the procurement requirement based on the expiry of existing contracts and the identified base load demand of 8 MW.

The Commission found that the bidding process was conducted in line with Ministry of Power guidelines.

Although only one bidder participated, the Commission noted that the selection of a single bidder is permissible under the applicable guidelines, subject to regulatory approval.

For tariff evaluation, the Commission compared the discovered rates with recent tariffs and market data available on the portal, which ranged from ₹4.85 (~$0.051) to ₹12.50 (~$0.133)/kWh.

The Commission concluded that the discovered tariff range of ₹5.30 (~$0.056) to ₹5.90 (~$0.062)/kWh falls within the prevailing market range and is reasonable.

Recently, the MERC allowed Mindspace Business Parks, Gigaplex Estate, and KRC Infrastructure and Projects to withdraw their request for approval of a long-term power purchase agreement (PPA) to procure 60 MW of wind-solar hybrid power.

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