The Rajasthan Electricity Regulatory Commission (RERC) has adopted a tariff of ₹2.64 (~$0.03)/kWh for NLC India’s (NLCIL) 810 MW intrastate-connected solar photovoltaic power project in Rajasthan.

The tariff was discovered through tariff-based competitive bidding under the program for flexibility in generating and scheduling thermal / hydropower stations through bundling with renewable energy.

Background

In December 2022, Rajasthan Vidyut Utpadam Nigam (RVUNL) issued a tender to select solar project developers to set up an 810 MW of state transmission utility-connected solar projects on a build-own-operate basis in RVNUL’s Ultra Mega Solar park in Bikaner, Rajasthan.

SJVN Green Energy and NLC India submitted bids at ₹3.03 (~$0.036)/kWh and ₹2.95(~$0.035)/kWh, respectively.

The e-reverse auction was held in August 2023 and was finalized in favor of government-owned NLCIL, which confirmed the reverse auction tariff of ₹2.64 (~$0.03)/kWh.

NLCIL was to commission the solar project within 15 months of the PPA signing date.

Commission’s Analysis

RVNUL, the petitioner, asked the Commission to adopt the quoted tariff to enable the procurement of renewable energy from the 810 MW solar power project. It also requested that the distribution companies be directed to schedule the solar power pro-rata under the existing power purchase agreements (PPA) from RVNUL.

RVNUL and NLCIL have entered into a PPA of 25 years.

The Commission observed that the bidding process and evaluation were conducted in conformity with the provisions of the Request for Selection. It also noted that the selection of bidders by RVNUL was carried out transparently according to the Ministry of Power’s guidelines.

Following this, the Commission approved the adoption of the quoted tariff of ₹2.64 (~$0.03)/kWh.

Earlier this month, the Commission also approved the purchase of 3 GW of power from 1,111 solar projects under the Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabiyan program for 25 years.

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