NHPC Sets Benchmark With ₹4.48/kWh Tariff In Renewable Energy 1.2 GW Auction; Rays Power Infra, Juniper Green, ACME, And Avaada Secure Bids

NHPC has set a new benchmark in its tender for firm and dispatchable renewable energy (FDRE) projects connected to the interstate transmission system (ISTS). The projects, which include an energy storage system and an additional greenshoe option of 1,200 MW under Tranche VI, achieved a discovered tariff of ₹4.48/kWh. The auction attracted a total quoted capacity of 1,200 MW, with four companies emerging as winners. The tariff range for the successful bids was between ₹4.48 and ₹4.56 per kWh.

Jevargi Solar Power, a part of Rays Power Infra, secured 150 MW at the lowest tariff of ₹4.48/kWh. Juniper Green Energy and ACME Solar each won 200 MW and 250 MW, respectively, with a tariff of ₹4.56/kWh. Avaada Energy, which quoted ₹4.56/kWh for 600 MW, secured the maximum capacity. ACME Solar Holdings initially quoted 600 MW but was allocated 250 MW under the bucket-filling method. The three leading companies collectively accounted for 1,050 MW, showcasing competitive bidding within the ₹4.56/kWh tariff range.

This tender underscore significant advancements in renewable energy storage systems in India. The discovered tariffs represent a notable development in the sector. The NHPC tender, issued in June 2024, entails signing 25-year Power Purchase Agreements (PPAs) with successful bidders starting from the scheduled commissioning date of the projects. NHPC will procure the generated renewable power and distribute it to state utilities or other designated beneficiaries.

Developers are responsible for identifying and securing land for the projects. The tender specified a minimum project size of 50 MW, with additional increments in multiples of 10 MW. The total capacity under the tender was capped at 600 MW, while for northeastern states and other special categories, the minimum bid capacity was set at 30 MW.