The Madhya Pradesh Urja Vikas Nigam Limited (MPUVNL) has issued tender for 8.6 MW of grid-connected rooftop solar under RESCO II model at more than 13 locations across Madhya Pradesh.
The bid-submission deadline is September 28, 2018.
The scope of work includes the design, engineering, supply, installation, testing, commissioning, operation and maintenance of the projects. Installers will recover the cost of investment through monthly payment from the end user over next 25 years.
Mercom attended the pre-bid meeting by the MPUVNL held on the sidelines of the 12th edition of REI Expo 2018. In the meeting, various measures undertaken to encourage developers were highlighted by MPUVNL.
In a bid to reduce entry barrier, MPUVNL has put no technical criteria for eligibility. Though a company should have a net worth of ₹10 million (~$ 0.14 million)/MW to participate in the tender. Moreover, no operational performance guarantees are sought from the developers.
In this tender, 11 out of 13 project sites are medical colleges. More sites may be added before the bid submission deadline. Any institutional sector in Madhya Pradesh is entitled for a state government subsidy of 25 percent. The subsidy to be received from the Ministry of New and Renewable Energy (MNRE) is 25 percent.
Indian Renewable Energy Development Agency Limited (IREDA) will also provide concessional loans for the project, another effort to encourage participation by the MPUVNL.
The agency is likely to declare the result early as it wants to avoid the enforcement of code of conduct due to upcoming state elections.
Recently, AMP Solar India had quoted the lowest tariff (L1) of ₹1.58 (~$ 0.022)/kWh at the recently concluded auction held by Madhya Pradesh Urja Vikas Nigam Limited (MPUVNL) for the development of 35 MW of grid-connected rooftop solar under RESCO model.
Mercom had reported that according to this MPUVNL tender, the first-year tariffs quoted in this auction are set to escalate by 3 percent per year over a period of 25 years.
The tender witnessed the participation of 31 developers. The 35+ MWp rooftop tender capacity was oversubscribed by more than 630 percent.
Under this tender, 291 government colleges, 159 police establishments, municipal corporations, private entities were covered.
Nitin is a staff reporter at Mercomindia.com and writes on renewable energy and related sectors. Prior to Mercom, Nitin has worked for CNN IBN, India News, Agricultural Spectrum and Bureaucracy Today. He received his bachelor’s degree in Journalism & Communication from Manipal Institute of Communication at Manipal University and Master’s degree in International Relations from Jindal School of International Affairs. More articles from Nitin Kabeer