The Solar Energy Corporation of India (SECI) has awarded 960 MW of inter-state transmission system (ISTS-VI) connected solar projects in a recently concluded auction.
The auction winners included ReNew Power (300 MW) at ₹2.71 (~$0.038)/kWh, Avaada Energy (300 MW) at ₹2.71 (~$0.038)/kWh, Masaya Solar Energy (UPC Renewables) (300 MW) at ₹2.71 (~$0.038)/kWh, and Tata Power (60 MW) at ₹2.72 (~$0.038)/kWh.
SECI’s tender for setting up 1.2 GW of solar photovoltaic projects under ISTS-VI had received bids of 1,200 MW as reported on October 21, 2019. But only 80% of the quoted capacity (960 MW) was awarded in line with the tender condition.
“Initially, the tender was only for bidders in Madhya Pradesh, but now, it’s on a pan-India basis,” an official told Mercom.
Initially, the tariff bids for this tender had been capped at ₹2.65 (~$0.038)/kWh, which was later amended to ₹2.68 (~$0.037). However, in the fourth set of amendments for the tender, SECI again increased the tariff cap to ₹2.78 (~$0.038)/kWh.
According to Mercom India Research, SECI has auctioned 6.44 GW of solar projects under ISTS- I to VI.
In September 2019, Mercom had reported that due to the aggressive tariff caps, developer participation in auctions have been poor.
This tender has seen an increase in bid price by 7% as compared to the previous ISTS-V tender, which had received the lowest tariff of ₹2.53 ($0.0353)/kWh.
Shaurya is a staff reporter at MercomIndia.com with experience working in the Indian solar energy industry for the past four years in various roles. Prior to joining Mercom, Shaurya worked with a renewable energy developer and a consulting company. Shaurya holds a Bachelors Degree in Business Management from Lancaster University in the United Kingdom.