GUVNL Seeks Approval For 500 MW Solar PPA With NTPC Renewable Energy At ₹2.78 per Unit

The matter involves a petition submitted by GUVNL concerning the approval of a Power Purchase Agreement (PPA) signed with NTPC Renewable Energy Ltd. (NREL) for the procurement of 500 MW of solar power. The power is to be sourced from a solar PV project that NREL plans to establish in its Renewable Energy Park located in Khavda.

During the hearing on June 12, 2024, GUVNL, the petitioner, explained that the petition seeks approval for the tariff of ₹2.78 per unit agreed upon in the PPA, which was signed on June 15, 2024. The agreement is part of a bilateral arrangement between the two parties, to procure power from the upcoming solar PV project. The Commission questioned the basis on which the petition was filed, to which GUVNL responded by emphasizing the need for approval of the agreed tariff under the stipulated regulatory framework.

After hearing from the petitioner, the Commission acknowledged that the petition was submitted for the approval of the PPA and the agreed tariff. The Commission also noted that GUVNL would need to submit additional justification for the agreed tariff. This submission would include details about the provisions under which the tariff was agreed upon and how it aligns with the regulatory framework. GUVNL was instructed to provide these details within two weeks and to share a copy with NREL.

The Commission further determined that a public hearing is necessary to consider the views, suggestions, and objections of stakeholders regarding the proposed tariff and the PPA. As a result, GUVNL was directed to publish a public notice in two widely circulated Gujarati newspapers and one English newspaper in the state. This notice would invite comments, suggestions, and objections from the public, clearly stating the subject matter of the petition and the relief being sought. Additionally, GUVNL is required to upload the petition and all relevant documents on its website, allowing stakeholders to review them and submit their feedback.

The public notice must instruct stakeholders to submit their comments, objections, or suggestions in five copies to the Secretary of the Gujarat Electricity Regulatory Commission. These submissions must be supported by an affidavit and a copy sent to GUVNL. The Commission’s staff has also been directed to upload the petition and relevant documents on the Commission’s website, ensuring transparency and easy access for stakeholders.

The Commission will provide copies of any representations, suggestions, or objections received in response to the public notice to GUVNL. This will enable GUVNL to respond to the stakeholders’ inputs appropriately. Furthermore, any stakeholders who submit their comments, objections, or suggestions will be informed of the hearing date, allowing them to participate in the ongoing process.

The respondent, NTPC Renewable Energy Ltd., has not yet submitted a reply to the petition. The Commission has therefore directed NREL to file its response within two weeks and to provide a copy to GUVNL. GUVNL will have the opportunity to file a rejoinder, if necessary, within the same timeframe, and will also need to provide a copy to NREL.

The date for the next hearing will be communicated separately. The Commission’s instructions and the timeline for compliance are to be followed by all parties involved.