Madhya Pradesh Regulator Approves Tariff for 278 MW Floating Solar Project

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The Madhya Pradesh Electricity Regulatory Commission (MPERC) has allowed the M.P. Power Management Company (MPPMCL) to procure 278 MW of power from phase-I of the floating solar project at Omkareshwar reservoir at the proposed tariff.

The Commission has agreed upon the tariff of ₹3.22 (~$0.040)/kWh, ₹3.21 ($0.039)/kWh, and ₹3.26 (~$0.040)/kWh for the allotted capacity of 88 MW, 100 MW, and 90 MW respectively.

Rewa Ultra Mega Solar (RUMSL) had filed the tariff adoption petition as a representative of the procurer MPPMCL.

RUMSL is a 50:50 joint venture company between Solar Energy Corporation of India (SECI) and Madhya Pradesh Urja Vikas Nigam Limited (MPUVNL).

Background 

RUMSL had invited bids to develop a 600 MW floating solar park at the Omkareshwar reservoir in November 2021.

The 600 MW capacity comprises six units of 100 MW each of floating solar photovoltaic grid-connected power projects.

The tender received an overwhelming response, with 15 bidders shortlisted to participate in the bidding process. Fourteen domestic bidders and one foreign bidder participated in the auction.

In May, NHDC, AMP Energy, and SJVN were declared winners in the auction for the project’s first phase of 300 MW.

The successful bidders were allowed to quote unit-wise capacity within the maximum and minimum range specified in the tender. NHDC had specified capacity between 80 to 100 MW and was allocated 88 MW; SJVN had quoted for 90 to 100 MW and was allocated 90 MW, and AMP Green Energy was allocated 100 MW. The final discovered capacity was 278 MW for the project.

MPPMCL, the holding company of all three distribution licensees, has been authorized to procure power.

Commission’s Observations

The Commission said that MPPMCL, on behalf of the three distribution companies, will procure power from Omkareshwar Floating Solar Park.

Further, it said that the petitioner had approached the commission for approval regarding certain deviations in the bidding documents. The Commission approved these changes in March earlier this year.

“It is observed that tariff of each unit of Phase-I of Omkareshwar solar project has been discovered by the petitioner, RUMSL, through a transparent process of competitive bidding in accordance with Guidelines issued by Ministry of Power,” the Commission concluded.

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