Bhopal Municipal Corporation (BMC) has invited bids from nationalized banks, private banks, financial institutions, and non-banking financial companies to secure long-tenure term loans of ₹900 million (~$10.97 million).

The funds would be used to install 20 MW solar projects (Phase I), 21 MW solar projects (Phase II), 15 MW wind energy projects, and 1 MW rooftop solar systems.

The payment of interest and repayment of the loan will be adequately secured by the escrow mechanism on the corporation’s revenue stream. No other collateral security, as well as state guarantee, will be provided.

The last date to submit the bids online is March 24, 2023.

According to the tender documents, the interest documents should be mandatorily linked with the Marginal Cost of Funds Based Lending Rates (MCLR) with half yearly reset along with all other charges. There will be no prepayment penalty or processing charges.

The disbursement will be made in various stages during the 15 months. The moratorium period will be 24 months, and the door-to-door loan tenure will be 15 years.

In January last year, BMC had invited bids from engineering, procurement, and construction (EPC) contractors to set up two solar projects with a capacity of 10 MW each in Neemuch, Madhya Pradesh.

The estimated project cost is ₹800 million (~$9.75 million), of which BMC’s contribution will be ₹290 million (~$3.54 million) .

Later in May, BMC had issued a request for proposal (RfP) for the design, engineering, supply, construction, erection, testing, and commissioning of a 15 MW wind power project in Madhya Pradesh.

The estimated project cost is ₹750 million (~$9.14 million), of which BMC’s contribution will be ₹300 million (~$3.66 million).

Also, in June, BMC invited bids to install 1 MW grid-connected rooftop solar systems at various locations per the state regulator’s net metering regulations.

The estimated project’s cost is ₹50 million (~$609,600), out of which BMC will contribute ₹20 million (~$243,840).

Later in August, BMC invited bids for the design, engineering, supply, construction, erection, and commissioning of 21 MW (2×10.5 MW) of solar power projects in the Neemuch district of Madhya Pradesh on an annuity payment basis.

The estimated project’s cost is ₹800 million (~$9.75 million), out of which BMC will contribute ₹290 million (~$3.54 million).

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