Source：,solarquarter

The Solar Energy Corporation of India Limited (SECI) released a Request for Selection (RfS) for selecting Renewable Energy (RE) Power Developers to ensure a peak energy supply of 8,000 MWh from RE projects connected to the Inter-State Transmission System (ISTS) under FDRE-VI. This initiative aligns with India’s competitive bidding process to procure firm and dispatchable power, as outlined in guidelines issued by the Ministry of Power (MoP) on 9 June 2023.

SECI is seeking bids from RE power developers who can set up projects across India on a Build-Own-Operate (BOO) basis. The power procured through this process will be sold to various entities in India, and SECI will act as the intermediary agency for procuring and selling the power. The power purchase agreement (PPA) for these projects will last for 25 years.

The bidding process will follow a single-stage, two-envelope procedure, involving a competitive bid followed by an e-reverse auction. Interested bidders are required to submit their bids through the designated portal, ISN-ETS, by the specified deadline. The total contracted capacity under this RfS is 2,000 MW, distributed in 4-hour slots to provide a total of 8,000 MWh of energy. Each bidder is required to offer a minimum capacity of 50 MW and can submit a maximum bid of 1,000 MW.

Key dates include the pre-bid meeting will be held on 23/09/2024, and the bid submission deadline will be on 16/10/2024. The bid opening will be on 17/10/2024.

The projects selected under this scheme will incorporate energy storage systems (ESS) to ensure reliable power delivery during peak hours. The ESS must be charged using RE power, and it can be owned or tied up by a third party. The RE projects must comply with all Central Electricity Regulatory Commission (CERC) and Central Electricity Authority (CEA) regulations concerning connectivity, metering, and grid interconnection. Minimum voltage levels for interconnection must be at least 220 kV. Developers with operational connectivity to the ISTS for solar PV projects will be prioritized.

The selection process will consider the technical and financial capabilities of the bidders. Bidders are required to submit an Earnest Money Deposit (EMD) will be ₹10,00,000/MW and a performance bank guarantee (PBG), calculated based on the installed capacity of solar, wind, and energy storage components. The EMD can be submitted as a bank guarantee or alternative instruments like insurance surety bonds or payment on order instruments (POI). Similarly, the PBG must be provided before the signing of the PPA, and it will be valid for up to nine months after the scheduled commencement of supply from the project.

SECI will charge success fees to the selected developers, amounting to ₹1,00,000 per MW, plus applicable taxes. Developers must pay 50% of this amount within 30 days of receiving the Letter of Award (LoA) and the remaining 50% before signing the PPA. Any delays in payments will incur late payment fees at 18% per annum.

The project developers must also obtain all necessary state and local clearances, including environmental and forest clearances, no objection certificates, and other regulatory approvals.

Please view the document here for more details.