PFC Consulting Limited (PFCCL), acting as the Bid Process Coordinator for the Government of India, has launched an international competitive bidding process to select a Transmission Service Provider (TSP) for a key grid stability project in Rajasthan. The project, titled “Installation of 2 Nos. of Synchronous Condensers (SynCon) units at 765/400/220kV Fatehgarh-II PS,” aims to strengthen grid reliability and support the growing renewable energy capacity in the Northern Region.
The project will focus on installing two Synchronous Condenser units at the 400kV level at the Fatehgarh-II substation. These units are intended to provide essential inertial support and dynamic reactive power to the renewable energy complex in the region. Each unit will deliver dynamic support of +300 MVAr and -200 MVAr, along with a minimum short circuit contribution of 1200 MVA. This technical capability is expected to improve voltage stability and enhance the overall resilience of the transmission network, especially as renewable energy integration continues to rise.
Under the proposed structure, the selected TSP will undertake the project on a Build, Own, Operate, and Transfer (BOOT) basis. The scope of work includes ownership, financing, development, detailed design, engineering, procurement, construction, operation, and maintenance of the synchronous condenser units. This means the developer will manage the project from start to finish and operate the assets for the agreed concession period before transferring them as per the contract terms.
Importantly, POWERGRID will provide the required land space for the installation of the two units and the associated 400kV bays at the Fatehgarh-II substation free of cost. This support is expected to reduce initial project hurdles and streamline implementation.
The bidding process will follow a single-stage, two-envelope system. Bidders will submit both technical and financial proposals, and the final selection will be based on the lowest quoted transmission charges, provided technical requirements are met. The successful bidder will acquire 100 percent equity in a special purpose vehicle (SPV) that is currently under incorporation for this project.
In terms of financial requirements, bidders must submit a bid bond, also known as an Earnest Money Deposit (EMD), amounting to Rs. 22.80 crore. The selected bidder will also be required to furnish a Contract Performance Guarantee within ten days of receiving the Letter of Intent. The exact value of the Performance Bank Guarantee will be specified in the final Transmission Service Agreement and is typically linked to the overall project cost.
The Request for Proposal (RFP) document is available from February 11, 2026, to April 16, 2026, at a fee of ₹5,00,000 plus 18 percent GST. The bid submission deadline is April 17, 2026, by 15:00 hours IST, with technical bids scheduled to open the same day at 15:30 hours IST. The project is expected to achieve its Scheduled Commercial Operation Date within 30 months from the date of allocation.
Discover more from SolarQuarter
Subscribe to get the latest posts sent to your email.
