The Maharashtra Electricity Regulatory Commission (MERC) has awarded electricity trading license to Maharashtra State Power Generation Company Limited (MAHAGENCO). With this grant of license, MAHAGENCO can now participate in the state’s power trading activities.
The license granted to MAHAGENCO is a category - A license for power trading, and with this the body can trade up to 100 million kWh of electricity.
When contacted, a MAHAGENCO official said, “We applied for this license as MAHAGENCO is the implementing agency for the Mukhyamantri Saur Krushi Vahini Yojana (Chief Minister’s Solar Agriculture Feeder Program), and at the same time we are also a power generator.”
This trading license will help MAHAGENCO sign power purchase agreements (PPAs) with project developers for 1.5 GW of solar PV out of the 3 GW that is envisaged under the Mukhyamantri Saur Krushi Vahini Yojana and then enter into power sale agreements (PSAs) with the state distribution companies (DISCOMs).
This will also result in some additional revenue for MAHAGENCO. When asked about this, the MAHAGENCO official said, “Yes, but it will not be much, as we will only take some administrative charges. This license is more for paving way for solar in agriculture than making money for MAHAGENCO.”
