Key Points
9.82% tariff reduction for 2025-26 approved by MERC
EV charging stations get special single-part tariff rates
Green Power Tariff maintained at Rs 0.25/kWh
Time of Day rebates introduced for residential consumers
The Maharashtra Electricity Regulatory Commission (MERC), in its order released late Friday night regarding BEST’s tariff petition, has approved a tariff reduction of 9.82 percent for 2025-26, 4.16 percent for 2026-27, 0.39 percent for 2027-28, 2.52 percent for 2028-29, and 7.84 percent for 2029-30. MERC has also approved a net surplus of Rs 297.30 crore, compared to the net surplus of Rs 71.50 crore claimed by BEST, following truing up for FY 2022-23 to FY 2023-24 and provisional truing up for FY 2024-25. The commission aimed to balance consumer interests with the legitimate expenses of the Distribution Licensee.
The main reasons for the overall decrease in tariff include power procurement from TPC-G’s thermal units at Technical Minimum, discontinuation of power procurement from TPC-G’s Unit 5 starting FY 2029-30, procurement of additional power from Short-Term Renewable Energy over the 5th Control Period (2029-30), and reductions in transmission, state load dispatch centre, and state transmission utility charges based on annual revenue requirements approved in respective petitions.
To further promote electric vehicles (EVs) in the state, MERC has approved a single-part tariff for EV charging stations at high tension (HT) and low tension (LT) voltage levels, linked to the average retail cost of supply approved for each year of the 5th control period. The approved tariff is Rs 8.24/kVAh for HT EV charging and Rs 8.07/kVAh for LT EV charging in 2025-26. Additionally, to support mass transport and bulk consumers, Wheeling Charges will continue to be exempt for Railways, Metro, Monorail, and other consumers receiving supply at EHV (110/132 kV) voltage levels.
Furthermore, MERC has decided to maintain a levy of Rs 0.25/kWh as a Green Power Tariff for consumers opting to meet their power requirements through renewable sources. This Green Power Tariff will be in addition to the tariffs approved in the order, and all consumers (Extra High Voltage, High Voltage, and Low Voltage) will be eligible to opt for renewable power upon payment of the Green Power Tariff. The distribution licensee will provide facilities for requesting the Green Power Tariff through its web portal, mobile app, or other digital modes for consumer convenience.
The green attribute of energy consumed by a consumer who pays the green tariff will remain with that consumer. The distribution licensee will not count this energy towards its Renewable Purchase Obligation (RPO) fulfillment. Additionally, MERC has introduced a revised Time of Day (ToD) Tariff for BEST consumers with a rebate during solar hours. The benefit of the ToD rebate of Rs 0.50/kWh will also apply to consumers in the LT I - Residential category, provided they have smart meters installed.
