Nagpur: In a move that has sparked outrage across the renewable energy sector, the Maharashtra State Electricity Distribution Company Limited (MSEDCL) has revised its rooftop solar approval policy in a manner that critics say threatens to derail Maharashtra’s clean energy momentum.
The State-run discom has now linked the total sanctioned rooftop solar capacity for domestic consumers to their average electricity consumption over the past 12 months, a decision industry bodies have termed arbitrary, regressive, and potentially unlawful.
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‘Unilateral, unjust, and against regulations’
The All India Renewable Energy Association (AIREA) has accused MSEDCL of attempting to strangle rooftop solar growth by imposing unjustified restrictions without regulatory approval. As per established procedure, any change in rooftop solar norms requires prior approval from the Maharashtra Energy Regulatory Commission (MERC).
AIREA claims it has found no notification or order from MERC endorsing this change. “The discom cannot bend rules to suit its convenience. Such unilateral action violates both MERC regulations and net metering norms,” the association said, warning that the move could affect 50–60% of consumers and push many solar vendors to the brink of closure.
Contradictory standards, double billing logic
Renewable energy expert Sudhir Budhay has sharply criticised what he described as MSEDCL’s “double standards.”
“When billing consumers, the discom levies charges based on sanctioned load. But when it comes to approving rooftop solar capacity, it suddenly shifts the yardstick to past consumption. This selective logic clearly disadvantages consumers,” Budhay said.
Under the Electricity Act, 2003, citizens are legally empowered to generate electricity for their own use (except nuclear and hydro). By capping rooftop capacity based solely on past usage, critics argue that MSEDCL is effectively curbing this statutory right.
PM Surya Ghar Yojana hit
AIREA’s Maharashtra unit has escalated the matter to the Union Government, writing to J. V. N. Subramanyam, Joint Secretary (MNRE) and Mission Director of PM Surya Ghar Yojana, seeking immediate intervention.
Since February 13, solar vendors claim they have been unable to secure approvals for the desired solar capacities under the scheme. Consumers typically plan rooftop installations not just for current needs but also for future expansion, electric vehicles, additional appliances, and increased summer demand.
In Maharashtra, where power tariffs remain among the highest in the country, households often opt for higher solar capacities to offset peak-season bills. By tying approval to historical consumption, MSEDCL’s order is seen as a direct blow to future-ready energy planning.
No auto load extension up to 10 kW
Adding to industry concerns, AIREA directors J. K. Suri and Avtar Patel have alleged that MSEDCL is also refusing to provide automatic load extension up to 10 kW, a facility promoted by the Union Ministry of New and Renewable Energy (MNRE) under PM Surya Ghar.
Industry observers warn that this is not an isolated incident. MSEDCL had earlier altered solar rules for commercial and industrial consumers, significantly reducing fresh capacity intake and leaving vendors struggling.
Maharashtra accounts for nearly 25% of India’s rooftop solar applications and remains one of the fastest-growing markets in the segment. AIREA fears that the latest move could stall green investments, undermine the concept of solar banking, and dent the State’s renewable leadership.
If not reversed, stakeholders caution, the decision could send a chilling message to investors and consumers alike, raising uncomfortable questions about whether Maharashtra’s discom is protecting grid stability or simply safeguarding its revenue streams at the cost of clean energy ambitions.
