Maharashtra Sets Generic Tariff For Solar Projects at Rs 3.29/kWh

The Maharashtra Electricity Regulatory Commission (MERC) has issued the generic tariff order for renewable energy projects for the current financial year (FY 2019-20). The latest order will apply for the period between April 1, 2019, and March 31, 2020.

Maharashtra Generic Tariff Solar

The commission has in its order set the generic tariff for utility-scale solar PV projects at Rs 3.29/kWh for the fiscal. The tariff rate, which is Rs 0.57/kWh more than the tariff set last year for procurement of solar power (Rs. 2.72/kWh), will be applicable for projects where the cost of land and evacuation infrastructure has been included in the capital cost and not provided free by the power purchaser.

In the rooftop solar segment, MERC has fixed Rs 3.79)/kWh as the generic tariff rate. However, projects that are covered under the MERC regulations for net metering have been exempted from this tariff order. Matching the trend from ground-mounted solar projects, the commission has hiked the tariff for rooftop segment by Rs 0.57/kWh from the previous fiscal (FY18-19), which was Rs 3.22/kWh.

A specific provision in the order dictates that, if no safeguard duty is paid by a solar project developer in spite of import from China or Malaysia, then Rs 0.18/kWh will be deducted from the generic tariff of the projects.

For the procurement of wind energy in the state, the commission has set the generic tariff for the fiscal at Rs 2.52/kWh. Noticing a drop of Rs 0.35/kWh from the tariff set for the financial year 2018-19. The commission believes this reduction in rates is a result of the decline in wind energy tariffs across India since 2016 when reverse auctions were introduced.

Elsewhere, the commission has fixed the tariff for biomass projects at Rs7.83/kWh with accelerated depreciation of Rs 0.15/kWh. And for solar thermal projects a tariff of Rs 11.15/kWh with accelerated depreciation of Rs 0.91/kWh.

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Ayush Verma

Ayush Verma

Ayush is a staff writer at and writes on renewable energy with a special focus on solar and wind. Prior to this, as an engineering graduate trying to find his niche in the energy journalism segment, he worked as a correspondent for