Maharashtra Issues Fresh Solar Tender For 1 Gigawatt Capacity

- Advertisement -
  • MSEDCL seeks bids from project developers to supply power from projects in order to meet its RPO targets
  • The maximum allowed tariff bid has been fixed at Rs 2.80/kWh (4.03¢/kWh)
  • Project developers will be free to set up projects within the state of Maharashtra or anywhere else in the country
  • Developers would be required to commission projects in a solar park within 15 months of signing the power purchase agreement

The Indian state of Maharashtra has issued a fresh tender of 1 gigawatt of solar power capacity to fulfill its Renewable Purchase Obligation.

Maharashtra State Electricity Distribution Company Limited (MSEDCL) recently issued the third tender under its program of long-term solar power procurement through competitive bidding. The company had earlier issued two tenders of 1-gigawatt capacity each.

Representative image

Criteria for selection
Under the terms of the third tender, MSEDCL seeks bids from project developers to supply power from projects in order to meet its RPO targets. The maximum allowed tariff bid has been fixed at Rs 2.80/kWh (4.03¢/kWh).

- Advertisement -

Project developers will be free to set up projects within the state of Maharashtra or anywhere else in the country. Developers who wish to set up projects within the state must bid for a minimum capacity of 5 megawatts while those looking to set up projects outside the state must bid for a minimum capacity of 50 megawatts.

MSEDCL mandates that the capacity utilization factor of the power plants must not be less than 19 per cent over a year. If the generation falls below the committed level then the project developer shall be required to compensate to MSEDCL. On the other hand, in case of excess generation, MSEDCL will have the first right of refusal to procure the excess generation at 75 per cent of the tariff agreed upon. However, if MSEDCL refuses or fails to procure excess generation then the project developers are free to sell the excess generation wherever it wants. This is a crucial leeway available to the project developers and an incentive to generate additional energy and revenue.

Developers would be required to commission projects in a solar park within 15 months of signing the power purchase agreement. For developers looking to set up projects outside a solar park, this deadline is 18 months from the date of signing the power purchase agreement. There are provisions for a penalty as well for delayed commissioning.

Sun shining bright on Maharashtra
Maharashtra has been very aggressively issuing large-scale power tenders over the last few months in an attempt to meet its target to have 7.5 gigawatts of solar power capacity operational by March 2022. The state auctioned 1 gigawatt of capacity in May 2018 under the first tender to fulfill RPO through long-term procurement. The lowest tariff bid in that auction was Rs 2.71/kWh (3.90¢/kWh). It again auctioned 1 gigawatt of capacity under the second tender with the lowest tariff being Rs 2.74/kWh (3.94¢/kWh).

MSEDCL also issued a tender earlier this year to auction 1.4 gigawatts capacity across 30 locations in the state. Bids to develop just 1.17 gigawatts capacity were received. The company is now in the process to negotiate tariffs for these projects. At the same time another tender was issued to set up 1 gigawatt of floating solar power projects in the state. Last month, the Solar Energy Corporation of India (SECI) auctioned 250 megawatts of capacity at a solar power park in Maharashtra. The lowest bid in the auction was Rs 2.87/kWh (3.87¢/kWh).

- Advertisement -

Most Popular Articles

Infineon, Stellantis Partner To Advance Next-Gen Vehicle Power

0
With a dedicated Joint Power Lab and secured supply agreements, the partnership is set to drive transformative advancements in EV performance, cost-effectiveness, and the...

Audi Launches New EV Brand In China, Drops 4-Ring Logo

0
On Thursday, Audi introduced a new electric vehicle brand in China, branding the cars solely with the name 'AUDI' instead of its traditional four-ring...
IIT Bhubaneswar

IIT Bhubaneswar Partners MOSart Labs To Boost Engineering Skills In Chip Industry

0
The aim is to help students with essential skills in areas such as very-large-scale integration (VLSI), semiconductor technology, analog and digital design, validation, and...
Jaguar concept EV

JLR Highlights Its Biggest Reinvention With The Concept Car Jaguar Design Vision

0
The four-door GT is anticipated to be Jaguar's most powerful model to date. Its targeted range is approximately 430 miles (700 kilometers), and its...

ISE Labs Expands With New OSAT Facility In Mexico

0
Turbocharging its growth in North America’s tech hub, ISE Labs is set to build an OSAT semiconductor facility in Jalisco, Mexico, eyeing to create...

“Adoption Of IoT-Enabled SMT Machines Is Still In Early Phases” – Pradeep Tandon, Director...

0
While electronics are becoming smarter through the Internet of Things, is electronics manufacturing following suit? Pradeep Tandon, Director for India, Middle East, and SAARC...
Dr Yashodhan P. Gokhale, Vice President for Battery Technology, JSW Energy

Charge Forward: High-Voltage Batteries And MSMEs Can Fuel India’s EV Revolution

0
A nuanced explanation of low- and high-voltage EV batteries by Dr Gokhale, Vice President for Battery Technology at JSW Energy, illuminates their advancements and...
Sanjay Gupta, CDO & Global Head of Engineering, L&T Semiconductor Technologies

Can MSMEs Contribute And Profit From The Semicon Boom?

0
Semiconductor manufacturing often requires significant investment, typically feasible only for governments or large corporations. But are there opportunities for MSMEs as well? We spoke...
N.P. Ramesh, COO and Co-Founder, Orb Energy

“We Ensured Customers’ Monthly EMI Would Be Equal To Or Less Than Their Electricity...

0
In a conversation with Nitisha from EFY, N.P. Ramesh of Orb Energy outlines the early financing challenges customers faced. He explains how Orb Energy’s...

“Government Policy Should Equitably Address All Electric Vehicles: Extend Subsidies To Retrofits Or Remove...

0
Aryaman Raghuvanshi from EFY engages with Pramod Narendra, Head of Brand Management and Retail Network at Starya Mobility, to explore the overlooked potential of...

Wireless Light-Based Communication With Velmenni’s Technology

0
Velmenni is at the forefront of wireless communication innovation with its pioneering light-based technologies, Li-Fi and LC Link. Founded by Deepak Solanki in October 2014...

Harnessing AI Technology For Efficient Pest Management

0
AI-Genix, an agri-tech startup, is transforming pest management for farmers through advanced AI-enabled systems that precisely target harmful pests. In an industry where pesticides and...

One Charger To Charge All Your Devices

0
Now, there is no need to carry different chargers for different products. This Bhubaneswar startup has launched a universal 65W charger using GaN technology...

Karnataka Government Initiative Promises ₹5M To Tech Startups

0
Boosting innovation and entrepreneurship across the state’s vibrant ecosystem, Karnataka launched Elevate 2024 and KAN, offering grants up to ₹5 million for startups. On Tuesday,...

CastNX Tech Startup Secures ₹232M For Power Electronics Growth

0
Eyeing to boost R&D and produce 100,000 variable frequency drives by 2026, Indian power electronics startup CastNX has secured ₹232.2 million from Plutus Investments. CastNX...

Industry's Buzz

Learn From Leaders

Startups