NHPC’s 1,200 MW Solar Auction: Avaada Energy, Mahindra Susten, Essar, Jevargi, And Onward Solar Win With Competitive Tariffs

NHPC has completed the auction for its 1,200 MW Inter-State Transmission System (ISTS) solar power projects, marking a key milestone with highly competitive tariff results. The auction, which attracted several major renewable energy companies, saw successful bids from Avaada Energy, Mahindra Susten, Essar Renewables, Jevargi Solar (Rays Infra), and OnWard Solar Power.

The winning companies secured projects at tariffs ranging from ₹2.56 to ₹2.57 per kWh. Avaada Energy and Mahindra Susten each won bids with a tariff of ₹2.57 per kWh, securing 350 MW and 300 MW respectively. Essar Renewables, Jevargi Solar (Rays Infra), and OnWard Solar Power also achieved a tariff of ₹2.57 per kWh. Jevargi Solar (Rays Infra) won 200 MW, while OnWard Solar Power secured 50 MW at ₹2.56 per kWh, followed by Essar Renewables with 300 MW.

This auction results highlight the intense competition in the solar energy sector, with bids coming in at very close margins. The low tariffs underscore the ongoing trend of decreasing solar energy costs in India, showing the growing affordability and attractiveness of solar power. This outcome supports India’s efforts to increase its renewable energy capacity and reduce reliance on fossil fuels.

NHPC had earlier issued a tender on May 31, 2024, inviting bids for the development of 1.2 GW of ISTS-connected solar power projects across the country. The tender required bidders to pay a non-refundable fee of ₹3,54,000 and an Earnest Money Deposit (EMD) of ₹9,42,000. The bidding period ran from June 19 to June 29, 2024, with the results announced on July 4, 2024.

The auction results reflect strong interest and commitment from leading solar firms, marking a significant step towards achieving India’s renewable energy goals and reinforcing its position as a global leader in solar energy.