Torrent Power Limited has filed a Petition before the Gujarat Electricity Regulatory Commission (GERC) seeking approval for the adoption of a tariff discovered through a competitive bidding process. This tariff pertains to the procurement of 200 MW of wind-solar hybrid power for a period of 25 years. The power is to be procured from projects set up under the ISTS (Inter-State Transmission System) framework, with the objective of meeting Renewable Purchase Obligations (RPOs) in a cost-effective and long-term manner.
The petition has been filed under Section 63 of the Electricity Act, 2003, which empowers the Commission to adopt the tariff if it is discovered through a transparent competitive bidding process following guidelines issued by the central government. Torrent Power had issued a tender under the ‘Guidelines for Tariff Based Competitive Bidding Process for Procurement of Power from Grid Connected Wind Solar Hybrid Projects’ dated October 14, 2020, issued by the Ministry of Power.
The bid process coordinator for the tender was M/s. TUV SUD South Asia Pvt Ltd. The bidding process was conducted in two stages — the technical bids were opened on 13th February 2024, and the financial bids were opened on 16th February 2024. Only one bidder, M/s Juniper Green Energy Private Limited, participated and quoted a tariff of ₹3.65 per kWh for a 200 MW hybrid capacity. The quoted tariff includes all associated costs such as grid connectivity, transmission up to the delivery point, and statutory charges.
Torrent Power accepted the bid and entered into a Power Purchase Agreement (PPA) with Juniper Green Energy Private Limited on 28th February 2024. The PPA includes all standard clauses required by the Ministry of Power’s bidding guidelines and is valid for 25 years from the commercial operation date of the project. The power procurement is meant to fulfill the company’s non-solar and other RPO targets as specified by GERC.
Torrent Power also submitted copies of the PPA, the bid evaluation committee report, and the certificate of conformity with the guidelines. The company stated that although only one bidder participated, the bidding process followed the guidelines and was transparent, and the discovered tariff was within the expected range.
The Commission is required to verify whether the bidding process was conducted following the guidelines and whether the tariff is aligned with prevailing market conditions. As per the petition, the entire procurement and contractual framework is designed to ensure that consumers in Gujarat have access to reliable, clean energy at reasonable rates.
The Commission’s final decision on the petition will determine whether the discovered tariff of ₹3.65/kWh can be officially adopted and whether the PPA signed between Torrent Power and Juniper Green Energy will be considered valid and binding under the Electricity Act. This move is part of Torrent Power’s broader strategy to secure a clean energy supply and contribute to national and state-level renewable energy goals.
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