Altra Xergi Power (O2 Power) won the Solar Energy Corporation of India’s (SECI) auction for the assured peak supply of 8,000 MWh (2000 MW x 4 hours) of renewable energy from interstate transmission system (ISTS)-connected projects under tariff-based competitive bidding (FDRE-VI).

Altra Xergi quoted a tariff of ₹8.50 (~$0.099)/kWh to win 200 MW.

The other bidders were ACME Solar Holdings and Avaada Energy.

The total capacity eligible for the award was reduced to 656 MW per a provision for awarding only 80% of the capacity if bids received in the auction were less than the floated capacity. Bidders only applied for 820 MW.

The tender was floated in September 2024.

Selected bidders must begin supplying power within 24 months of signing the power purchase agreement (PPA).

According to the terms of the tenders, the buying entity will have to select four daily peak hours, starting from non-solar hours, to draw energy from the project. They must offtake energy daily, scheduling peak power supply as needed, with a mandatory supply of 4 MWh per 1 MW of contracted capacity during peak hours. If the bidders fail to meet the required energy supply during peak hours (up to 400 MWh for each 100 MW capacity), they will face a penalty of 1.5 times the PPA tariff for the shortfall.

Bidders with existing or under-construction renewable energy or storage projects with untied capacity could also participate in the tender. They would receive a longer PPA term, proportional to the difference between the actual supply start date and the scheduled commencement date.

Each bidder, including its parent companies or affiliates, was permitted to submit a single bid offering a minimum of 50 MW and a maximum of 1,000 MW of cumulative contracted capacity. Projects could be located anywhere in India, with renewable energy components (including storage) either co-located or at different sites. These components could connect to the ISTS network at various substations.

SECI allowed partial commencement of power supply from projects, with a minimum accepted capacity of 50 MW for the first and subsequent phases, with the final phase fulfilling the remaining contracted capacity.

Wind turbine models must have been certified and listed in the Ministry of New and Renewable Energy’s Revised List of Models and Manufacturers, and solar modules must have come from the Approved List of Models and Manufacturers.

JSW Neo Energy, Hero Solar Energy, Vena Energy, Hexa Climate Solutions, and Serentica Renewables won SECI’s Tranche IV firm and dispatchable renewable energy auction.

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