Covid-19: Maharashtra discoms turn to energy exchanges for cheaper power

On March 26, the peak demand in the state, excluding Mumbai, was 13,664 MW as compared with 19,029 MW on the same day in 2019.

The 21-day nation-wide lockdown, imposed on March 25, to check the spread of the coronavirus outbreak, has led to a sharp fall in power demand. As a result, power utilities in Maharashtra are buying cheaper power from energy exchanges, eschewing power purchase agreements (PPA) that command much higher tariffs.

The energy consumption has declined by 21-22 per cent to 2,628 GWh, according to an estimate by brokerage Emkay Global.

In Maharashtra, which is the most industrialised state, commercial activities had come to nought since March 22, even before Prime Minister Narendra Modi announced a 21-day national lockdown ending April 14,