PMC expedites process to form SPV for solar generation

Shrinivas Kandul, head, PMC electricity department, said that PMC and Mahapreit have signed the agreement. The two institutions are searching for government land in Marathwada region. PMC has promised to purchase all the power generated by Mahapreit

With the Pune Municipal Corporation (PMC) eyeing to save ₹40 crore per annum in electricity bill if it purchases it from the state government-owned Mahapreit company, the civic body has expedited the process to form a special purpose vehicle (SPV).

PMC is presently purchasing energy at ₹8 per unit from the Maharashtra State Electricity Distribution Company Limited (MSEDCL). (REPRESENTATIVE PHOTO)

Shrinivas Kandul, head, PMC electricity department, said that PMC and Mahapreit have signed the agreement. The two institutions are searching for government land in Marathwada region. PMC has promised to purchase all the power generated by Mahapreit.

“PMC have submitted the proposal for forming a SPV. The state government has sought some more documents that PMC will be submitting in the next two to three days. The state government is expected to okay the SPV soon,” said Kandul.

Mahapreit (Mahatma Phule Renewable Energy and Infrastructure Technology Limited) is a state-owned company. PMC had approved to install solar power plant in rural areas on public private partnership (PPP) basis, and Mahapreit would give electricity at low cost to the civic body.