India's Maharashtra state targets tokenized grid financing

India's Maharashtra State plans to fund power infrastructure through asset tokenization

The Indian government of Maharashtra State has begun to formulate relevant policies and plans to tokenize 40% to 50% of some transmission assets, aiming to raise funds for the construction of new transmission lines and solar energy storage facilities.

Overview of core solutions

• Tokenization ratio: Maharashtra may tokenize 40% to 50% of its selected transmission line assets.
• Revenue distribution: Token holders are expected to receive part of the revenue generated by Maharashtra Transco.
• Use of funds: The proceeds will be used to increase transmission capacity and build a solar energy storage center.
• Legal Framework: The proposed DELTA Act will regulate blockchain-based property tokenization across the state.

A token model with electricity revenue as The anchor point

The plan was elaborated on by Praveen Pardeshi, chief economic adviser to Maharashtra Chief Minister Devindra Fadnavis and CEO of the Maharashtra Transformation Institute, at the World Trade Center in Mumbai. The event was co-hosted by real estate tokenization companies RealX and MST Blockchain.

Padsh pointed out that Maharashtra could use digital tokens to finance income-generating state assets without having to completely sell ownership of those assets. In one possible structure, the state government could tokenize 40% to 50% of an interest in a transmission line. Investors who purchase these tokens will share a share of the revenue of the Maharashtra State Power Transmission Company (abbreviated as "Maharashtra Transko").

Padsh said the money raised through the token sale could be used to build additional transmission lines and support the construction of energy storage centers to release stored solar energy when power demand rises. Instead of transferring full control of infrastructure to private owners, this proposed model allows investors to participate in the income generated by specific portions of public assets. Padsh described tokenization as a financing tool that allows more citizens to participate in the development of public infrastructure.

Currently, specific terms including which transmission assets can be included in the project, how token holders receive revenue, who is eligible to invest, and which blockchain network to use to record ownership have not been disclosed. The state government also did not announce the size and timetable for a possible token sale.

Grid capacity constraints lead to solar power abandonment

According to Padsh, Maharashtra's interest in new financing models stems in part from the mismatch between its solar power generation and transmission capacity. At some times, the state produces more solar power than it needs, but the grid cannot always deliver this power to areas where there is demand. Due to the lack of adequate transmission lines and energy storage facilities, low-cost electricity may not be available when consumption reaches daily peaks after it is generated during the surplus period.

Padsh pointed out that when supply exceeds demand, the trading price of electricity on the exchange is as low as two paises per unit. However, during peak hours, distribution companies may need to purchase electricity at a price of Rs 16 to Rs 18 per unit. Energy storage facilities can store solar surplus during the day and release it later, while new lines can transport electricity from power generation sites to consumption centers. Based on the model displayed at the event, Maharashtra plans to use proceeds from any infrastructure tokenization project for both types of projects.

Under this model, token holders will rely on income rights and legal protections attached to each asset, rather than owning the entire physical transmission line. Therefore, the final structure needs to clarify how revenue is calculated, distributed and recorded, as well as the rights investors have if revenue falls below expectations. Liquidity is also a factor that needs to be considered for any tradeable token version. Previous reports have shown that although the total value of tokenized real-world assets has reached US$34.6 billion, only US$3.79 billion has been actually used in the agreement, and about 89% of the issue value is idle.

Artem Tolkachev, chief RWA (real world assets) officer at Falcon Finance, said in the report that low utilization should be assessed in conjunction with the intended use of the asset. Tokens designed primarily to distribute revenue may achieve their purpose without frequent transactions, while assets created as collateral face different testing standards.

The DELTA Act establishes rules for property tokenization

In addition to the power infrastructure proposal, Maharashtra is drafting the Maharashtra Digital and Land Tokens Asset Exchange Act (referred to as the "DELTA Act"). If the bill is implemented, Maharashtra will become the first state in India to pass legislation specifically covering blockchain-based property tokenization.

Padsh used the Express Towers commercial building in Mumbai as an example to explain how property tokenization works. The building was tokenized through a real estate investment trust (REIT) structure, dividing the property interest into smaller investment units. An explanatory document in June 2026 described real-world asset tokenization as the process of expressing off-chain asset rights through tokens recorded on the blockchain. Depending on the legal structure, tokens may represent ownership, income rights, debt, or other contractual claims.

In Maharashtra's proposed infrastructure model, the legal link between tokens and the revenue of Maharashtra Transko Company is crucial. Blockchain records alone will not determine whether investors hold enforceable claims; these rights will depend on state legislation, prospectus, and contractual frameworks.

Padsh also refuted the idea that partial tokenization of government assets equated with privatization. Under his proposed model, the government would continue to create and operate public infrastructure, while token buyers would financially participate in the distribution of revenue from the asset.

U.S. regulatory cases highlight the importance of token rights

For U.S. investors, access to Maharashtra-related tokens will depend on the final offer terms and applicable U.S. securities regulations. As of now, no plans have been announced to promote the proposed token in the U.S. market or make it available through a U.S. registration platform.

Recent disputes involving stock tokens have shown that the legal rights attached to digital assets are crucial. Robinhood's conflict with AMC Entertainment has raised questions about third-party tokens linked to publicly traded shares, particularly whether buyers have the same rights as underlying company shareholders. According to reports, Robinhood's stock token products are available through offshore units that are inaccessible to U.S. users. AMC CEO Adam Aron opposes AMC-related products created without company approval, while Robinhood said the token tracks the value of the underlying shares through an escrow structure.

Maharashtra's proposal is different in form because the state is considering a direct financing arrangement directly linked to public infrastructure revenue. Padsh's presentation suggests that Maharashtra will build the model through state policies and the proposed DELTA Act, although the final investor protection, qualification requirements, trading rules and revenue allocation process will still depend on legislation and any subsequent offering documents.