Nagpur: The electricity tariff impasse gripping Maharashtra, excluding Mumbai, shows no signs of easing, exposing a chaotic and consumer-hostile regulatory process. What began as Mahavitaran’s Multi-Year Tariff (MYT) proposal has turned into a prolonged legal and administrative tug-of-war, bouncing from the Maharashtra Electricity Regulatory Commission (MERC) to the High Court and even the Supreme Court, only to land back at square one. With the Commission now announcing a third public hearing, fears are growing that fresh tariff hikes may once again be pushed onto already burdened consumers.
Mahavitaran had originally sought to fix power tariffs for the five-year period from 2025 to 2030, claiming the move was backed by an extensive long-term study. After a public hearing, MERC delivered its order on March 28, 2025, slashing average tariffs by 10 per cent with effect from April 1, 2025, a rare relief for consumers. However, Mahavitaran promptly challenged the decision through a review petition, refusing to accept the reduction.
Gold Rate
Mar 30,2026 - Time 10.25Hrs
Acting on the review, the Commission issued a fresh order on June 25, 2025, re-determining tariffs at higher rates. This triggered strong backlash from consumer organisations and solar energy businesses, who approached the High Court, alleging that Mahavitaran’s so-called “review” was nothing but a backdoor attempt to push a full-fledged tariff revision without mandatory public consultation. They also opposed provisions that were seen as detrimental to the solar sector.
The High Court stayed the June order and directed Mahavitaran to issue bills strictly as per the March 28 tariff. Unwilling to accept the setback, Mahavitaran escalated the matter to the Supreme Court, which asked the Commission to take a fresh decision. Now, after months of confusion and legal wrangling, MERC has announced yet another public hearing, effectively admitting that the process so far has been flawed.
Public hearing on February 10
MSEB Workers Federation president Mohan Sharma said the Commission has invited applications from stakeholders for the public hearing scheduled on February 10. He pointed out that a hearing was already held on January 3, but consumer representatives had alleged that they were denied a fair and adequate opportunity to present their objections, raising serious doubts about the transparency of the process.
Excess recovery puts Mahavitaran in the dock
A major unresolved issue remains the excess recovery from consumers. The tariff fixed in June 2025 was higher than the March 28 rates, enabling Mahavitaran to collect inflated bills until November, when the High Court stay came into force. With that order now in place, Mahavitaran faces uncomfortable questions over refunding the excess amount collected from consumers. The Commission, too, will be forced to take a clear and unambiguous stand on whether consumers will be compensated for the financial burden imposed during this period.
As the matter heads into yet another hearing, consumers remain trapped in uncertainty, paying the price for regulatory flip-flops, legal battles, and a tariff-setting process that appears increasingly disconnected from public interest.
