Mumbai: The state government has approved the diversion of 4.90 hectares of reserved forest land to develop a 100 MW hybrid power project at the Middle Vaitarna dam.
Project Combines 20 MW Hydroelectric and 80 MW Floating Solar Power
The project will combine 20 MW of hydroelectric power with 80 MW of floating solar energy. With this clearance in place, construction of the hybrid power facility is now set to begin. The project is expected to generate approximately 208 million units of electricity annually.
Completed in 2014, the Middle Vaitarna Dam is located in Kochale village, Mokhada taluka, Palghar district. Standing 102.4 metres tall and stretching 565 metres in length, the dam provides 455 million litres of water daily—about 11% of the city's total supply.
With a total storage capacity of 1.93 lakh million litres, the dam is now also set to support renewable energy. During the construction of the dam, a dedicated outlet pipeline was also laid to facilitate both water supply and future hydroelectric power generation.
In 2019, the State Water Resources Department approved the BMC’s hydroelectric project at the dam. Consultants later recommended integrating solar power with hydroelectric generation under a Design, Build, Finance, Operate and Transfer (DBFOT) model.
The tenders were invited on February 16, 2021 and contract was awarded to a joint venture between Shapoorji Pallonji & Company and Mahalaxmi Konal Urja pvt. ltd. This JV formed Vaitarna Solar Hydro Power Genco Private Limited (VSHPPL) as the project’s Special Purpose Vehicle.
BMC to Purchase Electricity at Rs 4.75 per Unit for 25 Years
The civic body secured final environmental clearance from the Ministry of Environment, Forest and Climate Change (MoEF&CC) in April 2025. "Without any capital investment, BMC will purchase electricity at a fixed rate of Rs 4.75 per unit (kWh) for 25 years. The first phase includes a 20 MW hydroelectric project and a 6.5 MW (AC) floating solar power project, expected to generate around 78.13 million units annually. This initiative is projected to save approximately Rs 12.6 million per year in electricity costs at BMC’s Pise-Panjrapur water treatment complex," a senior official stated.
Transmission via MSETCL Grid with New 13-km Line to Igatpuri
He added, “Electricity from this project will be transmitted via Maharashtra State Electricity Transmission Company Limited's (MSETCL) existing grid under the Open Access Policy, supported by a new 13-km transmission line from Middle Vaitarna Dam to Igatpuri in Nashik.”
Also Watch:
.jpg)
Construction Timeline Spanning 31 Months Including Financial Closure
The project duration is 31 months, including a 7-month financial closure period. The actual construction phase, excluding the monsoon season, is 24 months.
