MPTL Seeks MERC Transmission Licence For INR 252.68 Crore Nashik Substation Project In Maharashtra

Musalgaon Power Transmission Limited (MPTL) has approached the Maharashtra Electricity Regulatory Commission (MERC) seeking a transmission licence to develop, operate and maintain a 220/132/33 kV Air Insulated Substation (AIS) at Musalgaon in Nashik district, Maharashtra. The project aims to strengthen the regional electricity transmission network, improve power supply reliability and meet rising electricity demand, including requirements associated with the Nashik-Trimbakeshwar Simhastha Kumbh Mela scheduled for 2027.

The petition, filed on September 16, 2026, seeks approval under the Electricity Act, 2003, for the proposed transmission infrastructure. The project will be implemented under the Tariff-Based Competitive Bidding (TBCB) framework on a Build, Own, Operate and Transfer (BOOT) basis. Maharashtra State Electricity Transmission Company Limited (MSETCL) emerged as the successful bidder after quoting the lowest annual transmission charges of ₹86 crore.

The proposed substation will include two 100 MVA, 220/132 kV interconnecting transformers and two 50 MVA, 220/33 kV power transformers. The development will also involve the installation of transmission bays, double-circuit transmission lines and loop-in-loop-out (LILO) arrangements to integrate the substation with the existing electricity network.

The transmission infrastructure includes a 220 kV double-circuit line connecting Musalgaon to the existing 400 kV Babhaleshwar substation, along with another 220 kV double-circuit line linking Musalgaon with Raymond. Additional 132 kV transmission lines will provide connectivity to Khaparale, Akole, Sangamner and Sinner.

The project received in-principle approval at the eighth meeting of Maharashtra’s Empowered Committee on July 8, 2025. The committee estimated the project cost at ₹252.68 crore. The Maharashtra government subsequently approved implementation through competitive bidding on October 3, 2025.

REC Power Development and Consultancy Limited (RECPDCL) was appointed as the Bid Process Coordinator and issued the Request for Proposal on October 15, 2025. Following amendments to the bidding documents, the final bid submission deadline was February 3, 2026. The electronic reverse auction took place on February 17, 2026, after which MSETCL was selected as the successful bidder. The Bid Evaluation Committee confirmed the outcome on April 22, 2026.

RECPDCL issued the Letter of Intent on June 16, 2026, which MSETCL accepted on June 19, 2026. On September 7, 2026, RECPDCL communicated the final acquisition price of ₹220.89 lakh for transferring the project-specific company. The Share Purchase Agreement and Transmission Service Agreement were signed on September 9, 2026, transferring complete ownership of MPTL to MSETCL.

According to the petition, the scheduled commercial operation date is 12 months from the effective date. MPTL has requested MERC to grant the transmission licence and recognise it as the designated transmission service provider.

Once commissioned, the project is expected to address existing transmission constraints, strengthen electricity network connectivity and improve the reliability of power supply across Nashik and surrounding areas. The additional infrastructure is also intended to support Maharashtra’s growing electricity requirements and ensure a more dependable network during major events such as the 2027 Simhastha Kumbh Mela.


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