The Solar Energy Corporation of India (SECI) has announced a call for bids under the SECI-FDRE-IV program. This initiative aims to select renewable energy developers for the supply of 1,260 MW of firm and dispatchable power from Inter-State Transmission System (ISTS)-linked renewable energy projects.
As per the guidelines set by SECI, prospective developers are required to secure both land and connectivity for their projects. Interested parties have until November 14, 2023, to submit their bids, with bid opening scheduled for November 15. The tender fee for participation is ₹29,500, and there is a bid processing fee of ₹15 lakh plus 18% GST for each project.
Under this program, SECI invites proposals for setting up ISTS-connected renewable energy projects on a Build-Own-Operate (BOO) basis. SECI will enter into Power Purchase Agreements (PPAs) with successful bidders for 25 years based on the terms and conditions outlined in the Request for Selection (RfS) and PPA documents.
Out of the total tendered capacity of 1,260 MW, SECI has provisioned 1,250 MW for sale to BSES Rajdhani Power Limited (BRPL) and BSES Yamuna Power Limited (BYPL) in Delhi, while the remaining 10 MW has been allocated to M/s GIFT Power Company Limited (GIFT PCL) in Gujarat. These entities will serve as the buying entities under this RfS, with SECI acting as an intermediary nodal agency facilitating the procurement and sale of power on a back-to-back basis, contingent on performance by both the Renewable Energy Power Developer (RPD) and the buying entities.
One noteworthy aspect of this initiative is the mandatory inclusion of Energy Storage Systems (ESS) as part of the projects. Importantly, ESS must be charged using renewable energy sources, and the technology used can be changed by the RPD during the PPA term, subject to certain conditions and notifications to SECI.
To participate in the bidding process, bidders are required to submit an Earnest Money Deposit (EMD) based on their proposed cumulative installed capacity, which is calculated using a specific formula (Earnest Money Deposit = [INR 9,28,000 x Rated cumulative Installed Capacity of Solar component (MW) + INR 12,64,000 x Rated cumulative Installed capacity of Wind component (MW) + INR 14,64,000 x Rated cumulative Installed Capacity of the ESS component (MW)]. Additionally, selected bidders must provide a Performance Bank Guarantee, the value of which is also determined based on their rated installed capacity and ESS capacity. (Performance Bank Guarantee = [INR 23,20,000 x Rated Installed Capacity of Solar component (MW) + INR 31,60,000 x Rated Installed capacity of Wind component (MW) + INR 36,60,000 x ESS Capacity (MW)].
It’s important to note that the minimum and maximum cumulative contracted capacities allowed for projects are 50 MW and 630 MW, respectively.
SECI’s initiative represents a significant step towards harnessing renewable energy resources and expanding India’s clean energy footprint, contributing to the nation’s sustainable development goals. The bidding process is expected to attract innovative and forward-thinking developers eager to contribute to India’s renewable energy future.
Please view the document below for more details.