Punjab Solicits Proposals for 100 MW Solar Projects and Associated Transmission System

The Punjab State Power Corporation (PSPCL) has announced an invitation for bids to establish 100 MW solar projects and the corresponding transmission system in Bathinda.

Interested parties must submit their bids by January 18, 2024, with the bid opening scheduled for January 24.

The bid processing fee is ₹300,000, and the earnest money deposit is required in the amount of ₹100 crore from the bidders.

The winning bidders will need to provide a performance bank guarantee of ₹25 crore.

The land needed for the project will be provided by PSPCL for a lease rent of ₹1 per acre per year.

At least ₹1 billion in net worth was required of bidders as of the last day of the previous fiscal year, or at least seven days prior to the deadline for submitting bids.

In the previous fiscal year, bidders’ minimum yearly turnover was ₹50 crore.

As an alternative, they could be able to generate resources internally if their profit before taxes, interest, and depreciation was at least ₹10 crore on the last day of the previous fiscal year.

Bidders holding an approval letter from lending institutions committing a line of credit for a minimum of ₹12.5 crore for meeting the project’s working capital requirements will also be eligible.

The tender emphasizes the use of well-established technologies to mitigate technological uncertainties and ensure timely power generation. The declared annual capacity utilization factor (CUF) for the projects should not be below 19%. The successful bidder is required to maintain generation to achieve an annual CUF within +10% and -15% of the declared value for the first ten years from the commercial operation date. Afterward, the annual CUF should remain within +10% and -20% of the declared value until the end of the 25-year power purchase agreement (PPA) duration.

Furthermore, the project mandates the use of solar modules registered in the Approved List of Models and Manufacturers issued by the Ministry of New and Renewable Energy. The modules must be warranted for output peak watt capacity, with a minimum of 90% at the end of 10 years and 80% at the end of 25 years.