MSEDCL awards 6.6 GW to Adani: key terms (2026)

What MSEDCL has awarded and why it matters

Maharashtra State Electricity Distribution Company Limited (MSEDCL) has moved ahead with a large, long-tenure power procurement that combines renewable and thermal supply. The procurement originated in a 6,600 MW competitive bid for a blended package of 5,000 MW solar and 1,600 MW thermal capacity. Under the award structure described in the tender conditions, Adani Power Limited (APL) received the Letter of Intent (LOI) and the two Adani Group entities are expected to execute separate contracts for their respective supply components. Adani Green Energy Limited (AGEL) is to supply the solar portion, while Adani Power is to supply the thermal portion. The arrangement is designed as long-term contracting, with 25-year agreements referenced across both components.

The 6,600 MW hybrid tender: how the package is split

MSEDCL’s procurement specifies two distinct supply blocks within the same overall programme. The first is 5 GW (5,000 MW) of solar power to be supplied from the renewable energy park being developed at Khavda in Kutch district, Gujarat. The second is thermal power supply of 1,496 MW (net of auxiliary consumption) from a new 1,600 MW (2x800 MW) ultra-supercritical thermal power project. While the overall tender size is 6,600 MW, disclosures around executed agreements also refer to the combined supply being approximately 6,500 MW when adding 5,000 MW solar and 1,496 MW net thermal. The split highlights an intent to combine long-duration thermal generation with a large renewable block, rather than relying on a single technology for long-term procurement.

Solar supply: 5,000 MW from Khavda on a 25-year tariff

AGEL said it will sign a long-term Power Purchase Agreement (PPA) with MSEDCL to supply 5 GW of solar power from the Khavda project in Gujarat to Maharashtra. The tariff for the solar capacity has been stated as a flat INR 2.70 per kWh for a period of 25 years. The solar projects are expected to be connected to the Inter State Transmission System (ISTS). Development is planned in a staggered manner over three years from execution of the PPAs with MSEDCL. The specifics indicate that the project build-out and grid integration are expected to be phased, which is typical for multi-gigawatt renewable capacity additions.

Thermal supply: 1,496 MW net from a new 1,600 MW USCT project

For the thermal component, Adani Power is to supply 1,496 MW (net) to Maharashtra under a long-term Power Supply Agreement (PSA) for 25 years. The underlying plant is described as a new 1,600 MW facility configured as 2x800 MW, using ultra-supercritical technology. The award is on a Design, Build, Finance, Own and Operate (DBFOO) basis. Fuel sourcing is referenced as coming from coal linkages allocated under Para B (iv) of the SHAKTI Policy, which is positioned as a pre-determined linkage in the MSEDCL bid context.

LOI to LoA to PSA: what the later filings say

The programme has progressed across multiple steps and filings over time. The initial LOI for the composite 6,600 MW package was referenced as being awarded in September 2024. Later disclosures stated that Adani Power entered into a PSA with MSEDCL for supply of 1,496 MW (net) for 25 years, while AGEL reported that its wholly owned subsidiary, Adani Renewable Energy Fifty-Five Limited, entered into PPAs with MSEDCL for supply of 5,000 MW of solar power. Separately, on 15 March 2026, Adani Power said it received a Letter of Award (LoA) from MSEDCL for supply of 1,600 MW of power from one of its upcoming ultra-supercritical thermal power projects. In that LoA context, Adani Power said it emerged as the lowest-tariff bidder, offering power at a combined tariff of Rs 5.30/kWh, and that supply is scheduled to commence from FY 2030-31 under a proposed 25-year PSA.

Commissioning schedule referenced for the thermal units

For the 2x800 MW thermal plant described under the composite award, the schedule is defined relative to an “Appointed Date” as per the award terms. Power supply is expected to commence three and a half years after the Appointed Date for Unit 1 (800 MW) and four years for Unit 2 (800 MW). These timelines indicate a staged commissioning profile for the project rather than both units coming online simultaneously. In the later LoA disclosure (March 2026), Adani Power separately stated that supply under the proposed PSA is scheduled to commence from FY 2030-31.

Adani Power’s broader contracting pipeline: numbers disclosed

Adani Power has highlighted how these awards fit into its larger contracted portfolio. The company said that during FY25-26, it won five long-term PSA bids with a combined capacity of 10,400 MW. It also said it has tied up long-term PSAs of 13.3 GW out of its 23.8 GW under-implementation pipeline. For existing operations, Adani Power stated that more than 95% of its current operating capacity of 18.15 GW is tied up under medium-to-long-term PSAs. And for its upcoming capacity, it said over 55% of the 23.8 GW pipeline is secured under 25-year PSAs.

Why the coal linkage and contract structure are central to the deal

One of the notable features of the MSEDCL thermal bid, as described by the company, is the presence of a pre-determined coal linkage. Adani Power has positioned this as providing long-term fuel security and supporting reliable and cost-effective power supply. The contract structure is also important: AGEL and Adani Power are expected to sign separate contracts with MSEDCL for the solar and thermal supply components, respectively, as permitted under the tender conditions. This separation aligns the commercial and operating responsibilities with the relevant generation assets, while still delivering a single, large procurement outcome for MSEDCL.

Key facts at a glance

Conclusion

MSEDCL’s procurement brings together a large 5,000 MW solar block and a long-term thermal supply arrangement linked to a new ultra-supercritical plant, with 25-year tenures forming the backbone of the contracts. The solar component carries a stated flat tariff of INR 2.70/kWh, while a later Adani Power disclosure around an MSEDCL LoA mentions a combined tariff of Rs 5.30/kWh for 1,600 MW with supply scheduled from FY 2030-31. Next milestones, as referenced in the disclosures, are the execution and implementation of the PPAs and PSAs, followed by the staged development and commissioning timelines specified in the award terms.