Madhya Pradesh draws record low India rooftop solar bids

Facebook
Twitter
LinkedIn
Reddit
Email
Credit: Tata Power

Madhya Pradesh Urja Vikas Nigam Limited’s (MPUVNL) 35MW rooftop solar auction has drawn bids as low as INR1.58/kWh (US$0.022), however the tariffs include an escalator and are heavily subsidised.

The rooftop solar comes under India’s RESCO model, where the developer leases out the PV system to the rooftop owner.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

The 1.58 rupee tariff for solar on the buildings of Power Grid Corporation of India (PGCIL) is the lowest ever tariff for both rooftop and utility-scale solar in India to date.

Vinay Rustagi, managing director at consultancy firm Bridge to India, said: “On the face of it these tariffs, of course, look very low but there is actually 45% subsidy being offered under this tender by state as well as central government. Secondly, the tariff has a 25-year escalation clause so the tariff actually goes up every year by 2.5% so considering these things, the tariff actually starts making much more sense.”

Although the projects are yet to be allocated, the tariffs so far and the organisations whose premises will have solar installed were as follows:

Organisation Tariff (INR/kWh)
PGCIL 1.58
Institutions of Central Govt./National Importance 1.67
Municipal Corporations/Nagar Palika Parisad in MP 1.69
Govt. Medical Colleges under Dept. of Medical Education 1.74
Govt. Universities in MP 1.91
Colleges under department of Higher Educations in MP 2.21
Private entities 2.28
MP Police Establishments 2.33
Govt. Engineering/Poly-Technic/ITI Colleges in MP 2.35

Before the auction, the tender drew bids from 31 companies.

The 750MW Rewa Solar Park in Madhya Pradesh, which drew what were at one time the lowest ever solar tariffs in India, started supplying power to the grid in July.

Read Next

September 10, 2025
Indian solar module manufacturer Vikram Solar reported a 79.7% year-on-year increase in revenue for the first quarter of FY26.
September 9, 2025
Australia's National Electricity Market (NEM) broke records yesterday when renewables supplied 76.4% of total electricity demand, with solar power contributing nearly 60% of the record-breaking clean energy mix.
September 8, 2025
Vikram Solar has won a 336MW module supply agreement from L&T Construction for the 2.3GW Khavda solar park in Gujarat. 
September 4, 2025
India’s Goods and Services Tax (GST) Council, the joint forum of the Centre and States, has reduced the GST rate on renewable energy components from 12% to 5%. 
September 4, 2025
Indian solar manufacturer Waaree Energies has acquired a 64% equity stake in power transformer manufacturing company Kotsons.
Premium
September 4, 2025
Analysis: A Biden-era policy to suspend the payment of duties on Southeast Asian module imports looks set to backfire badly on an already under-pressure US solar industry.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
September 16, 2025
Athens, Greece
Solar Media Events
September 30, 2025
Seattle, USA
Solar Media Events
October 1, 2025
London, UK
Solar Media Events
October 2, 2025
London,UK
Solar Media Events
October 7, 2025
Manila, Philippines