EoI Issued to Develop 1.2 GW of Solar Projects in Uttar Pradesh, Tariff Cap of ₹2.75kWh

Bundelkhand Saur Urja Limited (BSUL) has issued an expression of interest (EoI) to develop grid-connected solar projects in the 1.2 GW Ultra Mega Renewable Energy Power Park in Jalaun, Uttar Pradesh.

The selected developer will have to sign a power purchase agreement (PPA) with BSUL for 25 years.

Bundelkhand Saur Urja Limited (BSUL) is a joint venture of NHPC and Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA) formed to develop solar projects, conventional and non-conventional power projects entrusted by the Uttar Pradesh government.

Ministry of New & Renewable Energy has approved BSUL as the Solar Power Park Developer (SPPD) to implement the 1,200 MW Jalaun Solar Park.

The last date to submit the bids is May 18, 2022. Bids will be opened on May 20.

It is proposed that one or more blocks of land identified in the solar park will be allocated to different project developers to have a concentrated zone for solar power generation.

The proposed park is divided into two locations, with 600 MW to be developed in Tehsil Madhogarh and commissioned by March 2024. Another 600 MW will be developed at Tehsil Orai by August 2024, both located in the Jalaun district of Uttar Pradesh.

Payment of earnest money deposit (EMD) or bid security in the EoI stage is not required. The bidders willing to participate in the open tender at a later stage will be required to submit EMD or bid security.

EoI Issued to Develop 1.2 GW of Solar Projects in Uttar Pradesh

The land allocated for the project is 6,000 acres with a 27-year leasehold. The project developer will pay an annual lease rental of ₹15,000 (~$195.58) for the land provided on a per-acre basis to BSUL. These rates will be enhanced every year at 2% per annum.

A one-time upfront fee is charged as ₹4.725 million (~$61,616)/MW against the development of the solar park infrastructure, including local area development charges. The annual maintenance fee and annual administrative charges are considered as ₹100,000 (~$1,304)/MW and ₹50,000 (~$652)/MW, respectively, with a 6% annual escalation.

BSUL will procure power from the solar project developer at a fixed tariff for the medium term or long term, and the power purchase rate will not exceed ₹2.75 (~$0.036)/kWh, considering all transmission losses.

The declared annual capacity utilization factor (CUF) should not be less than 21%. The project developer will be responsible for achieving the specified CUF. The developer must maintain generation to achieve annual CUF within + 10% and -15% of the declared value for ten years from commissioning, subject to the annual CUF remaining a minimum of 21%. It should remain within +10% and -20% of the declared value of the annual CUF till the end of the PPA duration of 25 years

The parties must submit information regarding experience in executing solar projects in India on a turnkey or engineering, procurement, and construction basis and statements supporting their average annual turnover in solar projects in the last three financial years.

Previously, BSUL had issued a tender for consultants to create a detailed project report for a 1.2 GW solar park in Jalaun, Uttar Pradesh.

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