According to Mercom India Research, government agencies announced tenders for 8.5 GW of solar projects in the second quarter (Q2) of the calendar year (CY) 2021, a 19% decrease compared to 10.6 GW in the previous quarter.
However, the figures were up 60% compared to the same period last year, when only 5.3 GW of solar tenders were announced.
The quarter witnessed only 465 MW of auction – a 94% decrease quarter-over-quarter – compared to 7.8 GW in the previous quarter and down by 89% year-over-year as auctions to the tune of 4.4 GW were held during the same period last year.
Large tenders floated in Q2 2021
In April 2021, the Maharashtra State Electricity Distribution Company Limited (MSEDCL) invited bids to procure 1,300 MW solar power from projects to be connected at distribution network (11/22 kV) in 29 districts in Maharashtra. The projects will be developed under the ‘Mukhyamantri Saur Krishi Vahini Yojana’.
In the same month, NTPC invited bids for engineering, procurement, and construction (EPC) package with land development for 1,200 MW of grid-connected solar projects in Rajasthan.
Similarly, the Solar Energy Corporation of India invited bids for setting up a 1,200 MW interstate transmission system (ISTS)-connected wind-solar hybrid power projects (Tranche-IV) on a build, own, and operate basis across India.
NTPC also invited bids to select solar developers for setting up 1,000 MW ISTS-connected solar projects across India.
Last month, the Railway Energy Management Company Limited, a joint venture of the Indian Railways and RITES, invited bids for setting up a 740 MW ground-mount solar project on vacant lands belonging to Indian Railways.
Major auctions in Q2 2021
In May 2021, TP Saurya, a Tata Power subsidiary, was declared the winner in the Maharashtra State Power Generation Company’s (MAHAGENCO) auction for setting up 250 MW of grid-connected solar photovoltaic projects at the Dondaicha Solar Park in Dhule, Maharashtra. SJVN and NTPC Renewable Energy also participated in the bidding process and quoted ₹2.53 (~$0.034)/kWh and ₹2.82 (~$0.038)/kWh, respectively. TP Saurya won the full capacity of 250 MW by quoting ₹2.51 (~$0.033)/kWh.
In the same month, SJVN Limited won a 100 MW solar project in the Gujarat Urja Vikas Nigam Limited’s auction. The projects are to be set up at the Raghanesda Solar Park in Gujarat (Phase-X). SJVN quoted a tariff of ₹2.64 (~$0.036)/kWh for the 100 MW capacity.
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Rahul is a staff reporter at Mercom India. Before entering the world of renewables, Rahul was head of the Gujarat bureau for The Quint. He has also worked for DNA Ahmedabad and Ahmedabad Mirror. Hailing from a banking and finance background, Rahul has also worked for JP Morgan Chase and State Bank of India. More articles from Rahul Nair.