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The Maharashtra State Electricity Distribution Company Limited (MSEDCL) has issued a request for proposals for the procurement of power on a long-term basis from 500 MW of interstate grid-connected solar power projects (Phase-VII).
The minimum project capacity at a single location will be 25 MW, with a minimum bid capacity of 50 MW for projects. Apart from the minimum project capacity of 25 MW, the project capacity shall be a multiple of 25 MW.
The deadline for online proposal submission is July 18, 2022, which is also the bid opening date.
As an earnest money deposit, bidders must present Rs 400,000/MW. The chosen bidder would be required to provide a performance bank guarantee of Rs 1.1 million/MW for a period of 7 months.
Projects that have not yet been commissioned, projects that are under construction, and projects that have been commissioned but do not have a long-term PPA with any agency and are selling electricity on a short-term or merchant plant basis will be eligible for procurement. Foreign firms are also permitted to bid.
MSEDCL will enter into a power purchase agreement (PPA) with the bidders chosen for the purchase of solar power for a period of 25 years beginning with the scheduled commercial operation date for proposed or new solar power projects or beginning with the date of execution of the PPA for existing solar power projects.
The solar power generator will be accountable for the project’s land acquisition, financing, design, procurement, engineering, construction, and operation and maintenance in compliance with the PPA requirements.
Successful applicants must get grid access from the Maharashtra State Electricity Transmission Company (MSETC).
Bidders must have an internal resource generating capacity of at least Rs 703,400/MW of stated capacity in the form of Profit Before Depreciation, Interest, and Taxes (PBDIT).
During the previous fiscal year, the bidders’ minimum yearly turnover should have been Rs 3.52 million/MW of stated capacity, and they should have a net worth of Rs 10 million/MW.
They should have a lenders’ sanction letter for a minimum of Rs 879,000/MW of stated capacity to cover the working capital requirement.
According to MSEDCL, the announced capacity utilization factor (CUF) can never be less than 19% annually. The generator must sustain generation to achieve annual CUF within +10% and -15% of the reported value for the next 10 years from the date of commercial operation.
The yearly CUF shall be a minimum of 17% and within +10 and -20 percent of the announced amount until the conclusion of the PPA’s 25-year term.