GUVNL announces tenders for 700 MW solar capacity in the state

The Gujarat Urja Vikas Nigam Limited (GUVNL) has tendered 700 MW of grid-connected solar photovoltaic (PV) power project which will be set up at Raghanesda Solar Park – Gujarat (Phase III). Key points from the tender are as below:

  • The bid-submission deadline: Nov 15, 2018
  • Pre-bid meeting: October 17, 2018
  • Objective: The capacity to be tendered is to fulfill the RPO and to meet the future requirements to the state DISCOMs.
  • Type of auction: Build Own Operate basis
  • The projects will be developed on three plots. While two plots have specifications for 250 MW each, the third one will have 200 MW of solar projects. The bidders can bid for the following capacities: 700 MW, 500 MW, 450 MW, 250 MW, or 200 MW. One must bid for the entire plot or a combination of two or three plots.
  • Earnest Money @ Rs. 10 Lakh / MW is to be submitted in the form of Bank Guarantee along with the Response to RfS.
  • PPA period: 25 years
  • The applicable land lease charges at the Raghanesda Solar Park has been set at ₹10,000/Hectare/Year with an increment rate of 15 percent every three years.

For this particular tender, GUVNL has not set any ceiling tariff. Also, the current tender is announced after the very competitive tariff discovered of INR 2.44/kWh in the last month’s 500 MW tender. Further, In a recent order, GERC has also imposed an additional surcharge of 0.44/kWh to all open access consumers who fall under GUVNL’s discoms. Renewable energy generators who also fall under the third-party sale category will have to pay the additional surcharge according to the order.

MNRE proposes a draft schedule for solar tender activities to avoid clashes between agencies

The Ministry of New and Renewable Energy (MNRE) has approached all the central & state governments as well as public sectors implementing agencies for tendering of solar PV capacities to follow a timeline for implementing renewable energy projects. According to the letter “It has been seen that sometimes bids of two organizations clash with each other, thus distorting the market.” It is being assumed that by following a timetable for bidding, these organizations can evenly distribute their tender and auction activity throughout the year.

According to the timetable, SECI will have the months of Dec, Mar, Jun & Sept for its tender and auction activity. NTPC and other public sector units will utilize Jan, Apr, Jul, and Oct for tender & auction activity. Further, the state implementing agencies will use Feb, May, Aug, and Nov for the activities.

MNRE has requested implementing agencies to follow this timetable in light of the tender trajectory that was announced earlier. As per the trajectory, 30 GW of solar will be tendered and auctioned in the current and the next Financial years. The timeline is to be followed by the large-scale projects tenders only and not the rooftop solar tenders.

The manufacturers are in acceptance of the proposed plan and believe, that now they will be able to plan their activities in an efficient manner. However, people in the industry are skeptical if the state will follow this timetable, since MNRE is an organization providing guidelines and it is up to the state to decide whether to follow it or not.

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