Jindal Steel, Jajpur has invited bids to procure a maximum of 224 MW of renewable power (solar and non-solar) for interstate or intrastate trading to meet its additional power requirements due to its plant capacity expansion from December 1, 2022, to November 30, 2025.
The company will procure power from generators, state electricity boards, independent power producers, and traders with a valid interstate or intrastate trading license issued by the Central Electricity Regulatory Commission or state electricity regulatory commissions.
The last date to submit the bids is November 30, 2021. Bids will be opened on December 5.
The bidder must bid for a minimum of 80 MW
Bidders will have to submit ₹10,000 (~$134.7)/MW as an earnest money deposit. The successful bidder will have to furnish an amount of ₹200,000 (~$2,694)/MW/month of the contract period within seven days from the date of being selected.
The successful bidder should apply for booking of the open access transmission corridor to the regional load despatch center (RLDC) or state load despatch center (SLDC). The company will be responsible for the timely filing of the open access application before the nodal RLDC or SLDC and coordinating with them to get consent.
Jindal Steel has stated that the successful bidder should ensure that actual scheduling does not deviate by more than 15% of the contracted power as per the approved open access on a monthly basis.
In case the deviation is more than 15% of contracted energy for which open access has been allocated every month, the successful bidder will have to pay compensation at the rate of ₹1 (~$0.013)/kWh or the differential ex-bus tariff for the power arranged from any alternative source, whichever is higher for the quantum of the shortfall.
In April this year, Jindal Steel decided to sell a 96.42% stake in electricity-generation subsidiary Jindal Power to Worldone for ₹30.15 billion (~$403.30 million). The deal included 3,400 MW coal-fired power plants in Chhattisgarh and other non-core assets owned by Jindal Power.
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Rakesh is a staff reporter at Mercom India. Prior to joining Mercom, he worked in many roles as a business correspondent, assistant editor, senior content writer, and sub-editor with bcfocus.com, CIOReview/Silicon India, Verbinden Communication, and Bangalore Bias. Rakesh holds a Bachelor’s degree in English from Indira Gandhi National Open University (IGNOU). More articles from Rakesh Ranjan.