Open Access Solar Charges: Landed Cost Calculation & Tariff Breakdown

Open Access Solar Charges:Landed Cost Calculation & Tariff Breakdown

Reviewed: August 2026

    

A common pitfall in evaluating Open Access solar is assuming the generator quoted PPA rate is your final landed cost. In reality, power wheeled across the state transmission and distribution networks incurs statutory regulatory charges determined by the State Electricity Regulatory Commission (MERC in Maharashtra). Understanding each charge component—wheeling, transmission losses, CSS, ASC, banking fees, and electricity duty—is critical to calculating your exact net savings.

33/132 kV
Typical Grid Evacuation
3-5%
Technical Line Losses
100%
CSS Exemption (Captive)
₹1.5-2.5
CSS Surcharge per Unit
45-60 Days
Regulatory NOC Timeline

     

High voltage transmission substation and lines
NETWORK UTILIZATION FEES

Transmission and distribution network usage fees.

Tariffs payable to the State Transmission Utility (MSETCL) and local DISCOM (MSEDCL) for transporting electricity across high-voltage transmission lines and local distribution infrastructure to your plant boundary.

BEST SUITED FOR

All consumers drawing power via open access, irrespective of captive or third-party status.

01 — TRANSMISSION

Fixed per-unit fee for state high-voltage grid lines

02 — WHEELING

Distribution network fee payable to local DISCOM

03 — LINE LOSSES

Technical transmission losses deducted in-kind

  

Modeling your landed solar cost accurately requires mapping each charge component against your specific 15-minute Time-of-Day (TOD) consumption profile.

01LANDED COST

Comprehensive Bill Modeling

Never rely on generator bus-bar tariffs alone; factor in wheeling, SLDC scheduling fees, and transmission loss adjustments.

02CAPTIVE ARBITRAGE

Surcharge Elimination

Captive status eliminates the single largest charge variable (CSS), locking in long-term tariff discounts of 30% to 45% against utility rates.

03REGULATORY MONITORING

Tariff Order Tracking

MERC tariff schedules are updated periodically; financial models must incorporate updated multi-year tariff (MYT) projections.

Charge ComponentStatutory AuthorityThird-Party PPACaptive / Group Captive
Transmission ChargesMSETCL (STU)Payable per unit wheeledPayable per unit wheeled
Wheeling ChargesMSEDCL (DISCOM)Payable per unit wheeledPayable per unit wheeled
Transmission LossesSTU Grid LossDeducted in-kind (~3-4%)Deducted in-kind (~3-4%)
Cross-Subsidy Surcharge (CSS)MERC Regulatory OrderFull CSS Payable100% Legally Exempt
Additional Surcharge (ASC)MERC OrderApplicable per tariff orderExempt under captive norms
Banking ChargesMSEDCL / MERCApplicable per orderApplicable per order
State Electricity DutyState Govt (Govt of Maharashtra)Standard rate appliesExempt or concessional

Frequently Asked Questions

In a solar rooftop system, solar panels are installed on the roof of any residential, commercial, institutional, or industrial building. This can be of three primary types: (i) Grid Connected Solar Rooftop System (without battery storage), (ii) Solar Rooftop System with battery storage facility (Off-Grid), and (iii) Hybrid Solar Rooftop System (Grid Connected along with Battery Storage backup).
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