The Uttar Pradesh Electricity Regulatory Commission (UPERC) has approved 42 power purchase agreements (PPAs) for 110.5 MW grid-connected solar projects under the feeder-level solarization program of PM-KUSUM Component C-2.

The approvals were granted through two orders following petitions jointly filed by the Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA) and Uttar Pradesh Power Corporation (UPPCL).

While one order approved 21 PPAs with an aggregate capacity of 49.6 MW, the second paved the way for 21 PPAs aggregating 60.9 MW in capacity.

Background

UPNEDA invited bids for procurement of power through tariff-based competitive bidding from grid-connected solar projects connected to identified segregated agricultural feeders on July 19, 2024.

After verification of the substation and feeder data, UPNEDA revised the tender capacity from 3,205 MW to 2,553.5 MW. The substation list initially showed a cumulative feeder capacity of 2,549.5 MW. The figure was later increased to 2,553.5 MW. f the 235 bids received, 153 were selected. The bids were received for 494 substations with a total capacity of1,529.1 MW. Additional bid offers were received for 72 substations totaling 157.3 MW.

The letters of award were issued for 566 substations with a cumulative capacity of 1,686.4 MW. The tariffs finalized in the bidding process ranged from ₹2.20 (~$0.026)/kWh to ₹2.99 (~$0.035)/kWh.

Commission’s Analysis

The Commission noted that the petitions were part of the same PM-KUSUM Component C-2 bidding process that had already been examined in earlier proceedings.

UPERC relied on its December 6, 2024 order, which approved the bidding documents and another October 8, 2025 order where it held that the bidding process was conducted in accordance with the approved documents and adopted tariffs for 25 PPAs.

The Commission observed that the PPAs placed before it were in line with the approved draft PPAs and had no deviations. It also noted that the tariffs were determined through the approved competitive bidding process and agreed upon by the successful bidders and UPPCL.

Accordingly, UPERC adopted the individual tariffs for the solar power projects under Section 63 of the Electricity Act, 2003, and approved the 42 PPAs.

The Commission also advised UPNEDA and UPPCL to take proactive steps to help developers ensure timely completion of projects.

Earlier this year, UPERC approved a tariff of ₹7.71 million (~$85,634)/MW/annum for procuring power from 1,500 MW of pumped hydro storage projects to be developed by UPPCL.

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