MERC to Examine Hybrid Power Connectivity Norms

The Maharashtra Electricity Regulatory Commission (MERC) has ordered a detailed study into grid connectivity for hybrid renewable energy projects located across multiple sites, following a partial approval of a petition by UltraTech Cement Ltd.

The Maharashtra Electricity Regulatory Commission (MERC) acted after UltraTech sought clarification on whether hybrid solar and wind projects could connect to the grid based on the higher of the two installed capacities, rather than their combined total.

Currently, state procedures require connectivity applications for the full installed capacity of both solar and wind components. UltraTech argued that this approach wastes transmission capacity, since solar and wind rarely generate at full output simultaneously.

Citing National and State Policies 

The company cited national and state policies promoting hybrid projects, including the MNRE’s 2018 Wind-Solar Hybrid Policy and Maharashtra’s 2020 Renewable Energy Policy. It also pointed to regulations from the Central Electricity Regulatory Commission and practices in other states, such as Gujarat.

UltraTech emphasized that it was not seeking new regulations, but rather clarification of existing norms. The company plans to use hybrid power to supply its Awarpur and Manikgarh cement plants.

MSEDCL's Objections Rejected 

MERC rejected objections raised by the state’s power distribution and transmission firms, MSEDCL and MSETCL, which had questioned the maintainability of the petition and defended the current rules.

The Commission ruled that UltraTech’s petition was valid and found merit in its request for guidance on grid connectivity norms. However, it concluded that policies in other states could not be applied directly in Maharashtra without a technical assessment.

On co-located hybrid projects, the Commission noted that MSETCL had already issued a revised connectivity procedure in January 2025, allowing projects to seek grid access based on the higher of the two capacities, as long as they are located at a single site.

An unresolved issue

But the issue of connectivity for hybrid projects spread across different sites remains unresolved.

The Commission acknowledged the complexity of integrating such projects into the state grid, citing the need for changes in open access rules, grid codes, metering, and energy accounting.

MERC has now tasked the Grid Co-ordination Committee (GCC) – comprising state utilities, developers, and the Maharashtra Energy Development Agency – to conduct a detailed study and propose a framework for multi-location hybrid project connectivity within six months.

The findings could pave the way for future regulatory amendments, potentially easing hybrid project development across the state.