The Maharashtra Electricity Regulatory Commission (MERC) has, reportedly, passed an order directing the Brihanmumbai Electric Supply and Transport (BEST) to continue with embedded generation i.e., thermal and hydro, from Tata Power till March 2025.
This is in response to the BEST Undertaking’s plan of switching to alternative cheaper power for the next seven years. The proposal was sent to the MERC with the request to discontinue power purchase with Tata Power for thermal capacities since the energy charge for these units have reached up to Rs 8-Rs 11 per unit, which could burden the consumers. However, to maintain reliability of power, the MERC directed BEST to extend the purchase agreement with Tata Power for thermal energy, and has given an option to go for additional cheaper power with medium and long-term agreements.