Madhya Pradesh Power Management Company Limited (MPPMCL) and Uttar Pradesh Power Corporation Limited (UPPCL) have signed a memorandum of understanding (MoU) for complementary power procurement and medium-term firm power banking. Under the arrangement, the two states will initiate competitive procurement of 2,000 MW of integrated solar and battery energy storage systems (BESS).
The arrangement seeks to leverage seasonal differences in power demand between the two states. Madhya Pradesh records higher demand during the Rabi season from October to March, while Uttar Pradesh sees higher requirements during the Kharif and summer seasons from April to September. The states will also establish a medium-term firm power banking mechanism to exchange power based on demand and availability, helping optimise generation resources and reduce reliance on short-term power purchases.