Floating Solar Projects Fail To Float in Maharashtra

Maharashtra today stands out as one of the states with an abysmal track record in implementing floating solar projects. Time and again, the state has issued tenders that were later cancelled, failed to attract bidders, or stalled even after being awarded. In several cases, projects progressed on paper but failed to move forward on the ground.

So what exactly went wrong—and what does this say about the state of floating solar development in Maharashtra?

A Pattern of Failed and Stalled Projects

Take the 105 MW Erai Floating Solar Park, awarded in 2022 to state-owned renewable energy major Satluj Jal Vidyut Nigam (SJVN) by the Maharashtra State Power Generation Company (MAHAGENCO).

SJVN won the project through an e-reverse auction under MAHAGENCO’s tariff-based competitive bidding framework. The project was awarded at a tariff of ₹3.93 per unit on a Build, Own and Operate (BOO) basis, with the total project cost estimated at ₹730 crore. At the time, it was projected as one of Maharashtra’s flagship floating solar initiatives.

However, despite being awarded, the project has struggled to move ahead, and has missed key deadlines starting in 2024 so far.

Multiple Tenders, Grid Issues, and Delays

According to a Central Electricity Authority (CEA) report, the Erai Floating Solar Park has gone through multiple tendering attempts, particularly related to evacuation infrastructure. In one instance, MSETCL demanded ₹71.80 crore for grid connectivity works, of which MAHAGENCO paid ₹59.8 crore. Despite this, the tendering process remained incomplete.

Compounding the problem, grid connectivity was cancelled on August 29, 2025, after the validity of the Grid Connectivity (G.C.) approval lapsed. The project was later appraised again for a separate tender.

Before this cancellation, MAHAGENCO’s Board, on July 30, 2025, approved a plan to develop the 105 MW project on an EPC basis within the Erai Floating Solar Park and to use the power for renewable energy bundling. The tender was expected to be issued in September 2025, underscoring how the project has repeatedly changed course.

Recurring Attempts, Limited Success

The Erai project is not an isolated case. Maharashtra has made repeated attempts to introduce floating solar tenders, but many have either failed to attract bidders or stalled after award. A floating solar project on Morbe dam tendered in 2024 for instance has failed to muster support. Another project on Tansa/Modak Sagar dam has also struggled to move beyond RFS stage. SJVN's push for 505 MW of floating solar across other reservoirs notably in Wardha, have also made little progress. 

A Troubled History Going Back to 2019

Maharashtra’s floating solar ambitions date back to 2019, when then Water Resources Minister Girish Mahajan announced plans to set up 500 MW of floating solar capacity across four dams—Wardha, Bebala, Khadakpurna and Pentakli—using the Swiss Challenge method.

The proposal envisaged an investment of ₹4.45 crore per MW, with a total installed capacity of 500 MW. However, despite the initial announcement and political backing, the four-dam floating solar plan never materialised on the ground.

The same concept resurfaced in 2022, when MAHAGENCO issued tenders for floating solar projects, including the Erai project. Yet, years later, Maharashtra is still struggling to commission even a single large-scale floating solar plant.

What This Signals for Floating Solar in Maharashtra

The repeated cycle of announcements, stalled tenders, cancelled grid approvals and restructuring points to systemic challenges—ranging from project design and evacuation costs to environmental clearances and financial viability. That this is happening in one of the most industrialised states of the country with a reasonable transmission network points to just how difficult the ropute has been for floating solar so far across India. Other than captive plants at NTPC owned ponds or the Omkareshwar project, the industry has had nothing like the success it hoped to achieve by now.    

While Maharashtra continues to announce new tenders and joint venture models, the gap between ambition and execution remains stark. Until these structural issues are addressed, floating solar in the state risks remaining more a policy aspiration than a deployable solution.