The Gujarat Electricity Regulatory Commission has issued an order on petition, filed by Uttar Gujarat Vij Company Limited (UGVCL). The petition sought approval for the adoption of tariffs discovered through a competitive bidding process under the PM-KUSUM-C Feeder Level Solarization scheme. This initiative aims to solarize agricultural feeders at the 11 kV level using solar power plants.
The tender process involved bids for six solar plants with an aggregate capacity of 41 MW. Successful bidders were selected based on a reverse auction, ensuring the lowest possible tariffs for each plant. The tariffs ranged between ₹2.74 and ₹2.94 per kWh, showcasing competitive pricing. UGVCL will enter 25-year Power Purchase Agreements (PPAs) with these bidders to secure sustainable energy supply.
The petition is a part of the broader PM-KUSUM scheme, initiated to promote renewable energy for agricultural needs. It includes components for installing solar pumps and decentralizing solar energy production. Under this program, UGVCL is responsible for solarizing over 52,000 agricultural pumpsets. The solar power plants are to be set up near 66 kV substations, minimizing energy loss and ensuring cost-effective operations
The project is a step toward achieving the renewable energy targets set by the Central and State governments. It complies with the Renewable Purchase Obligations (RPOs) mandated for distribution companies under the Electricity Act, 2003. The Commission’s approval reinforces transparency and adherence to the guidelines for competitive bidding.
The successful implementation of this scheme is expected to enhance energy access for farmers, reduce dependency on conventional electricity, and promote environmental sustainability in Gujarat’s agriculture sector.
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