
Summary: The Bombay High Court canceled the review order by the Maharashtra Electricity Regulatory Commission (MERC) that changed prices without asking the public, affecting solar and wind energy companies.
The Green Energy Association and others challenged a review order by MERC that changed the Multi-Year Tariff (MYT) Order from March 2025. This order affects renewable energy companies and their customers in Maharashtra by changing rules about energy storage and increasing prices without asking those involved.
The original MYT Order allowed energy saved during busy times to be used at any time. The review order limited this, affecting solar companies and their customers. Hotels were also put into a different category, leading to higher prices. The review order added a huge Rs. 55,624.50 Crores to spending, affecting customer prices.
"The challenged review order has big effects on everyone involved, including the customers."
Justice B. P. Colabawalla and Justice Firdosh P. Pooniwalla ruled that MERC did not follow fair practices by not asking those involved before changing the prices. They emphasized the need for openness and asking the public for their opinion as per the Electricity Act, 2003.
The court ordered MERC to share the Review Petition with stakeholders and make sure public notices are given. Until a new order is made, the original MYT Order from March 2025 will be followed.
"The matter is now sent back to MERC to decide the Review Petition filed by MSEDCL again after consulting all stakeholders."
The court's decision is a big win for solar and wind energy companies, ensuring they have a say in decisions about prices. The court’s focus on openness and fairness sets an example for future actions by regulators.
"Disclaimer: The names used in this report are fictitious and have been added for privacy reasons."