Mumbai, June 24 (SocialNews.XYZ) Chief Minister Devendra Fadnavis clarified in the Legislative Council on Wednesday that the 'Grid Support Charge' has been levied to ensure that the additional financial burden caused by the rising use of solar energy on the power grid does not pass down to common electricity consumers.
He emphasised that this charge applies to a mere 0.13 per cent of consumers and is not a financial loss, but rather a limited reduction in the excess profits of a few.
The Chief Minister was responding to a query raised by Legislative Council member Satej Patil regarding the increase in electricity sales tax for industrial and commercial consumers in the state.
Other members, including Bhai Jagtap, Eknath Khadse, and Dr Neelam Gorhe, also participated in the discussion.
CM Fadnavis stated that the Grid Support Charge was implemented on February 1, 2016, and has not been applied retrospectively.
Following the government's intervention pointing out a double-counting error of Rs 40,000 crore in some calculations by the Maharashtra Electricity Regulatory Commission (MERC), the commission has stayed the decision and initiated a fresh hearing.
Refuting claims of high power tariffs, the CM noted that Maharashtra's industrial electricity rates remain lower than those in Tamil Nadu, Telangana, and Madhya Pradesh.
In 2025-26, Maharashtra's tariff stands at Rs 8.19 per unit. Under the Multi-Year Tariff (MYT) framework, rates have been locked until 2029-30, ensuring Maharashtra’s power rates will remain among the most competitive in the country.
Highlighting the state's rapid industrial growth, CM Fadnavis mentioned that power demand in Maharashtra has jumped by an impressive 20 per cent over the last two years.
"If Maharashtra's power rates were truly high, industries would have moved to other states. On the contrary, major industries are heavily investing in Maharashtra," he said.
Explaining the technical challenges of solar energy, the CM stated that currently, only about 35 per cent of the generated solar power is consumed during the day, while 65 per cent is demanded back at night via energy banking.
This creates an extra load on the distribution system. To address this, the government is aggressively building large-scale Battery Energy Storage Systems (BESS).
In 2022, renewable energy accounted for 15 per cent of the state's total power generation.
The government aims to scale this up to 52 per cent by 2029-30 through various ongoing projects, with renewable energy projects of 38,000 MW capacity currently under development, said the CM.
The Chief Minister reiterated that the state government is open to holding fresh discussions with solar power producers regarding the Grid Support Charge and the Time of Day (ToD) policy.
He emphasised that minimising the financial burden on common consumers remains the government's top priority.
Additionally, under the PM Surya Ghar and Solar Agricultural Pump schemes, empaneled vendors and a dedicated grievance redressal mechanism have been established.
Maharashtra leads the nation by installing nearly 60 per cent of India's solar agricultural pumps, prompting the Central Government to urge other states to adopt the 'Maharashtra Model.'
The agricultural pumps also come with insurance coverage and a guaranteed five-year maintenance contract said the energy department.
Source: IANS
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