Hotels in Nagpur are facing mounting financial pressure as revised electricity tariffs and Time-of-Day (ToD) regulations reduce the economic benefits of rooftop solar investments, according to the Nagpur Residential Hotels Association (NRHA).

The association has raised concerns that hotels are now able to consume only 7.6 per cent of the solar energy they generate, as the current ToD framework limits eligible usage to a narrow window between 9 am and 5 pm. Since hotel operations typically peak during early mornings, evenings, and late nights, only about 4.6 per cent of their overall electricity demand aligns with the designated solar consumption hours.

As a result, nearly 92.4 per cent of the electricity generated through rooftop solar systems is exported back to the grid. However, hotel operators claim the compensation for this exported power is inadequate, while they continue to face a grid support charge of ₹21.96 per unit on total generation.

Tejinder Singh Renu said the revised tariff structure has significantly weakened the financial viability of renewable energy investments, undermining the original purpose of adopting solar power for cost savings and sustainability.

The NRHA cited multiple instances where hotel operators are receiving higher electricity bills despite generating substantial solar power, creating uncertainty over the return on investment for rooftop solar infrastructure.

The association has urged the Maharashtra government and the Maharashtra Electricity Regulatory Commission (MERC) to revise ToD timings and introduce fair compensation mechanisms for surplus solar energy fed into the grid.

Industry stakeholders warn that if the current policy framework remains unchanged, it could discourage future renewable energy adoption across the hospitality sector and negatively impact sustainability investments in commercial establishments.

The issue highlights the broader challenge of aligning renewable energy policies with sector-specific consumption patterns to ensure that clean energy investments remain financially viable.