SECI Launches Tender For 1,000 MW ISTS-Connected Solar PV Projects Under ISTS-XVIII With Competitive Bidding

The Solar Energy Corporation of India Limited (SECI) released a Request for Selection (RfS) for the selection of solar power developers to set up 1,000 MW of ISTS-connected solar photovoltaic (PV) power projects. These projects will be implemented under a tariff-based competitive bidding process as part of SECI’s 18th ISTS (Inter-State Transmission System)-connected solar project scheme. The power from these projects will be procured by SECI through a Power Purchase Agreement (PPA) with the developers for 25 years.

SECI has outlined the requirements for project developers to submit bids. The developers must set up solar PV power projects connected to the ISTS network in India on a Build-Own-Operate (BOO) basis. The power generated from these projects will be sold by SECI to various power distribution companies (DISCOMs) and entities across India. The total project capacity offered under this RfS is 1,000 MW, with a minimum bid capacity of 50 MW and a maximum of 500 MW per bidder. A bidder can submit a single bid for one or more projects, provided the total capacity does not exceed 500 MW.

Key dates include the bid submission deadline is 08^th October 2024, and the pre-bid meeting, which will be held as scheduled on 18^th September 2024. The techno-commercial bid opening will take place on 09^th October 2024, followed by an e-reverse auction for the eligible bidders.

To participate in the bidding process, developers are required to pay a non-refundable document fee of ₹50,000 plus GST and a bid processing fee of ₹20,000 per MW, subject to a maximum of ₹20 lakh, plus GST. Additionally, an Earnest Money Deposit (EMD) of ₹9,42,000 per MW must be provided by the bidders in the form of a bank guarantee. A performance bank guarantee (PBG) of ₹23,55,000 per MW is also required after the issuance of the Letter of Award (LoA), which must be submitted before signing the PPA. The PBG will be valid for 12 months after the scheduled commencement date of supply from the project.

Successful bidders will also be required to pay success charges of ₹1,00,000 per MW plus applicable taxes, with 50% of the amount due within 20 days of receiving the LoA and the remaining 50% due before signing the PPA. Any payment delays will result in a late fee of 18% per annum.

The solar power projects must comply with all applicable regulations, including those issued by the Central Electricity Regulatory Commission (CERC) and the Central Electricity Authority (CEA) for grid connectivity and metering. Projects must connect at a voltage level of at least 220 kV. Developers with existing ISTS connectivity will be given preference.

The projects are expected to be commissioned and begin supplying power by 30 June 2025. Developers may also commence supply earlier if they obtain the necessary approvals. In case of delays, penalties will be imposed, and the contracted capacity may be reduced if the supply is not initiated within six months of the scheduled date.

The solar power developers are responsible for obtaining all necessary permits, including environmental and forest clearances, and ensuring compliance with local and state regulations. All permits must be secured within 30 days of the PPA’s effective date to avoid any delays in project implementation.

Please view the tender here for more details.