en.Wedoany.com Reported - The Maharashtra Electricity Regulatory Commission (MERC) has approved Adani Power Ltd's winning bid of INR 5.90 per kWh for a 2,500 MW round-the-clock (RTC) renewable energy power purchase contract, with the tariff determined through a competitive bidding process organized by Maharashtra State Electricity Distribution Company Ltd (MSEDCL).
This procurement aims to enhance resource adequacy, meet the demand for round-the-clock green power from emerging sectors such as data centers and semiconductor manufacturing, and optimize the state utility's utilization of existing surplus solar power. MSEDCL issued a tender in January 2026, seeking long-term procurement of 2,500 MW of round-the-clock power from grid-connected renewable energy projects, which may be supplemented by other power sources or energy storage. The project structure requires a minimum annual renewable energy traceability of 51%, accompanied by strict supply obligations and performance-linked penalties.
Four companies participated in the bidding, with a total quoted capacity of 6,250 MW. In the initial financial bids, Adani Power quoted INR 6.30 per kWh, Lalitpur Power Generation Company Ltd quoted INR 6.34 per kWh, MB Power (Madhya Pradesh) Ltd quoted INR 6.48 per kWh, and Sterlite Grid 42 Ltd quoted INR 9.50 per kWh. Following an electronic reverse auction on March 17, 2026, Adani Power reduced its tariff to INR 5.90 per kWh, maintaining its position as the lowest bidder; Lalitpur Power Generation quoted INR 5.91 per kWh, while MB Power and Sterlite Grid 42 quoted INR 6.19 per kWh and INR 9.50 per kWh, respectively.
MERC noted that this procurement model is India's first supply-based round-the-clock renewable energy power tender. The winning bidder is required to integrate and dispatch MSEDCL's existing 5,000 MW of solar power (contracted at INR 2.70 per kWh), ensuring reliable round-the-clock supply, and bear the risks of dispatch, balancing, and supply. The Commission considered that the discovered tariff is advantageous compared to recently approved inter-state long-term thermal power purchase tariffs (with a levelized tariff range of INR 6.31 to INR 8.90 per kWh), while ensuring at least 51% traceable renewable energy content, thereby assisting MSEDCL in fulfilling its renewable purchase obligations.
After reviewing the bidding process, MERC determined that the tender was conducted in a fair, transparent, and competitive manner in accordance with Section 63 of the Electricity Act, 2003, and applicable round-the-clock bidding guidelines. The Commission approved the discovered tariff and directed MSEDCL to submit the final power purchase agreement signed with Adani Power for the supply of 2,500 MW of round-the-clock renewable energy.
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