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Agri-Solar Solutions Provider GK Energy Files Papers for ₹5.01 Billion IPO

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					</table>Power System Operation Corporation (<a href="https://posoco.in/" target="_blank" rel="noopener">POSOCO</a>) has debarred 15 distribution companies (DISCOMs) in six states and a Union Territory from buying or selling electricity at power exchanges as a penalty for not clearing their dues to generators under the Late Payment Surcharge Rules.
POSOCO invoked the Electricity (Late Payment Surcharge and Related Matters) Rules, 2022 to penalize DISCOMs by barring them from buying electricity from alternative short-term sources at the power exchanges.
These DISCOMs owe ₹14.76 billion (~$184.96 million) to power-generating companies. The DISCOM in Jammu &amp; Kashmir had the highest due amount of ₹4.34 billion (~$54.33 billion). Three Karnataka DISCOMS owed ₹2.34 billion (~$29.29 million), four DISCOMS in Rajasthan owed ₹3 billion (~$37.55 million), and one DISCOM in Madhya Pradesh owed ₹2.32 billion (~$29.04 million). Two DISCOMS in Tamil Nadu owed ₹2.01 billion (~$25.16 million), three DISCOMS in Telangana owed ₹529 million (~$6.62 million), and one DISCOM in Mizoram owed ₹182 million (~$2.27million).
The DISCOMS penalized include Bangalore Electricity Supply Company, Gulbarga Electricity Supply Company, Hubli Electricity Supply Company, Madhya Pradesh Power Management Company, Ajmer Vidyut Vitran Nigam, Jodhpur Vidyut Vitran Nigam, Jaipur Vidyut Vitran Nigam, Rajasthan Rajya Vidyut Prasaran Nigam, Jammu and Kashmir Power Distribution Department, Mizoram Mizoram Power Department, Telangana State Northern Power Distribution Company, Telangana State Power Commission Company, Telangana State Southern Power Distribution Company, Tamil Nadu Generation &amp; Distribution Corporation, and Tamil Nadu Electricity Board.
According to Clause 7 of the Late Payment Surcharge Rules,  if a DISCOM fails to clear its dues even after two and half months from the presentation of the bill by the generating company, short-term access for the sale and purchase of electricity included in the power exchange will be regulated entirely. If the dues are not cleared even after three and a half months, long-term supply too can be regulated.
The rules stipulate that a late payment surcharge will be <a href="https://mercomindia.com/discoms-allowed-clear-dues-generators-48-installments/" target="_blank" rel="noopener">payable</a> on the outstanding amount after the due date at the base rate of the late payment surcharge applicable for the first month of default. The rate of late payment surcharge for the successive months of default will increase by 0.5% for every month of delay, provided that the late payment surcharge will not be more than 3% higher than the base rate at any time.
The first due date for payment of the equated monthly installment will be the fifth day of the immediate month after 45 days from the notification of the rules, and the due date for all subsequent installments will be the fifth day of the subsequent months.
Most DISCOMs in the debarred list were <a href="https://mercomindia.com/25-state-power-utilities-downgraded-in-annual-discom-ratings/" target="_blank" rel="noopener">downgraded</a> in the tenth annual integrated ratings released by the Ministry of Power. Compared to the previous ratings, 25 DISCOMs were downgraded, while only two improved their rankings.
DISCOMs <a href="https://mercomindia.com/discom-dues-renewable-generators-up-%e2%82%b9237-billion-july/" target="_blank" rel="noopener">owed</a> generators ₹237.06 billion (~$3 billion) in overdue payments (excluding disputed amounts) at the end of July. The figure marked an increase of nearly 18% compared to ₹200.37 billion (~$2.53 billion) at the end of June.
Subscribe to Mercom’s real-time <a href="https://mercomindia.com/product/mercoms-renewable-energy-regulatory-updates/" target="_blank" rel="noopener">Regulatory Updates</a> to ensure you don’t miss any critical updates from the renewable industry.

POSOCO Forbids 15 DISCOMS in Seven States from Trading in Power Exchanges

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					</table>Tata Power Delhi Distribution (<a href="https://www.tatapower-ddl.com/" target="_blank" rel="noopener">Tata Power-DDL</a>) has invited bids for procurement of up to 300 MW of round-the-clock (RTC) renewable power (non-solar) under a short-term arrangement for the period from August 16, 2022, to October 31, 2022, and April 1, 2023, to June 30, 2023, for meeting its renewable purchase obligation (RPO) targets.
The last date to submit the bids is August 2, 2022. Bids will be opened on the same day.
Bidders should submit an amount equivalent to ₹30,000 (~$376)/MW per month on an RTC basis as an earnest money deposit.
The successful bidder should furnish a contract performance guarantee within seven days from the selection date of successful bidders for an amount equivalent to ₹200,000 (~$2,506)/MW per month of the contract period.
The successful bidders would be required to apply for short-term open access on behalf of Tata Power-DDL so that separate short-term open access charges up to the delivery point are not to be billed to Tata Power-DDL nor payable by the bidder.
Tata Power-DDL reserves the right to increase the supply quantum by 20% if there is a shortfall in the total quantity of power to be procured or if the same is required otherwise.
The power supply may be offered from one or more sources subject to the condition that offers from each source should not be less than 1 MW (minimum bid capacity).
<img loading="lazy" decoding="async" class="aligncenter size-full wp-image-38242" src="https://mercomindia.com/wp-content/uploads/2022/07/Tata-Power-300-MW-procurement.png" alt="Tata Power 300 MW procurement" width="597" height="471" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2022/07/Tata-Power-300-MW-procurement.png 597w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2022/07/Tata-Power-300-MW-procurement-300x237.png 300w" sizes="(max-width: 597px) 100vw, 597px" />
The quantity of power offered by the bidder should be firm power for the dates mentioned in the table above.
If the bidder is a trader, they should submit a copy of executed power purchase agreement (PPA) with the generator or an equivalent arrangement for supply of power and a copy letter of authorization from the generator.
The successful bidder should apply for booking the open access transmission corridor on behalf of Tata Power-DDL to the regional load despatch center (RLDC) in line with applicable short-term open access regulations.
The successful bidder should be fully responsible for filing the open-access application before the nodal RLDC and coordinating with the relevant RLDC or state load despatch center (SLDC) to get the timely booking of the open access corridor.
The distribution company (DISCOM) has further stated that the certificate confirming the renewable status of the power from the appropriate authority should be furnished by the supplier monthly along with bills.
A rebate of 2% will be applicable on payment of the energy bill within the due date of payment. No rebate will be applicable on payment of open access bills.
A surcharge of 1.25% per month will be applied on all payments outstanding for more than 30 days beyond the due date.
Both parties should ensure that actual scheduling does not deviate by more than 15% of the contracted power monthly.
If the deviation from the procurer side is more than 15% of contracted energy for which open access has been allocated every month, the procurer will pay compensation to the successful bidder at 20% of tariff per kWh for the shortfall over the permitted deviation of 15% while continuing to pay open access charges as per the contract.
The same holds true for the successful bidder.
Tata Power-DDL will provide a revolving Letter of Credit equivalent to 100% of the weekly energy corresponding to the contracted capacity at the tariff indicated in the Letter of Award.
In 2020, Tata Power-DDL <a href="https://mercomindia.com/tata-power-procure-non-solar-renewable-short-term-basis/" target="_blank" rel="noopener">issued</a> a request for proposal for procuring up to 150 MW of renewable (non-solar) power on a short-term basis for meeting its RPO targets.
Subscribe to Mercom&#8217;s <a href="https://mercomindia.com/product/india-solar-tender-tracker/" target="_blank" rel="noopener">India Solar Tender Tracker</a> to stay on top of tender activity in real-time.

Tata Power to Procure 300 MW of Non-Solar Renewable Power Under Short-Term Open Access

The Power and Electricity Department of Mizoram (<a href="https://power.mizoram.gov.in/">PEDM</a>) has issued a notice inviting bids for the short-term sale of the state electricity department&#8217;s surplus non-solar renewable power generated between January 1, 2021, and December 31, 2021.
Interested bidders are expected to make an earnest money deposit (EMD) of ₹500,000 (~$6,807). The last date for submission of bids is November 25, 2020.
The contract&#8217;s scope includes selling surplus non-solar-based renewable energy in the short-term through the open access mode. The delivery point for power supply by the PEDM will be the Mizoram periphery.
To be eligible to participate in the competitive bidding process, applicants must have previously traded at least 100 million units (MU) of non-solar renewable energy in the country in the last three financial years. They must submit documentary proof for this.
PEDM also said that only Indian entities with a valid trading license issued by the Central Electricity Regulatory Commission (CERC) are allowed to participate in the tender.
Successful bidders are expected to execute a power purchase agreement (PPA) with PEDM within 15 days of accepting the letter of approval. If they fail to do so, the LoA is liable to be terminated, and their EMD will be forfeited.
PEDM will bear all charges and losses up to the delivery point. The winning bidder is expected to bear all these charges are to be borne beyond the delivery point.
In May, Mizoram <a href="https://mercomindia.com/mizoram-floats-tender-short-term-supply/">issued</a> a notice inviting bids for the short-term sale of surplus non-solar renewable power to help the state electricity department sell its surplus power between July 22, 2020, and December 31, 2020.
According to <a href="https://mercomindia.com/product/india-solar-tender-tracker/">Mercom Solar Tender Tracker</a>, Mizoram has issued around 31 MW of solar tenders. In December 2019, the PEDM <a href="https://mercomindia.com/mizoram-solar-projects-vankal/">issued</a> a Request for Selection for setting up 20 MW of solar power projects at Vankal Solar Park, Khawzawl in Champhai district of the state.

Mizoram Invites Bids for Short-Term Sale of Surplus Non-Solar Renewable Power

Tata Power-Delhi Distribution Limited (<a href="https://www.tatapower-ddl.com/" target="_blank" rel="noopener noreferrer">TPDDL</a>) has issued a request for proposal (RfP) for procuring up to 150 MW of renewable (non-solar) power on a short-term basis for meeting its renewable purchase obligation (RPO).
The tender, however, adds that Tata Power-DDL can further increase the requirement by 20% if there is a shortfall in the procurement.
The last date for the submission of bids is February 21, 2020, while the opening date for non-financial technical bids has been scheduled for February 24, 2020.
Regarding the earnest money deposit (EMD), interested bidders need to pay a sum of ₹30,000 (~$421)/MW/month on round-the-clock (RTC) basis for the maximum capacity which they wish to offer, and it will be reduced on a pro-rata basis in case the bids are invited on an hourly basis.
For example, for a requirement of 1 MW for 15 days for 10 hours, the EMD shall be calculated as ₹30,000 x (15 days/30 or 31 days) x (10 hours/24 hours).
The successful bidder will be required to furnish a contract performance guarantee (CPG) within seven days for an amount of ₹200,000 (~$2,807)/MW/month.
According to the tender document, the successful bidder will be required to apply for short-term open access in such a manner that they are able to supply power from May 1, 2020, to October 15, 2020, up to a capacity of 150 MW.
<a href="https://mercomindia.com/wp-content/uploads/2020/02/Tata-Power-Delhi-Distribution-Limited-TPDDL-Procurement-Of-Renewable-Power-Non-Solar-On-Short-Term-Basis-2.png"><img loading="lazy" decoding="async" class="aligncenter size-full wp-image-17678" src="https://mercomindia.com/wp-content/uploads/2020/02/Tata-Power-Delhi-Distribution-Limited-TPDDL-Procurement-Of-Renewable-Power-Non-Solar-On-Short-Term-Basis-2.png" alt="Tata Power-Delhi Distribution Limited (TPDDL) : Procurement Of Renewable Power (Non-Solar) On Short-Term Basis " width="526" height="247" srcset="https://cms.mercomindia.com/wp-content/uploads/2020/02/Tata-Power-Delhi-Distribution-Limited-TPDDL-Procurement-Of-Renewable-Power-Non-Solar-On-Short-Term-Basis-2.png 526w, https://cms.mercomindia.com/wp-content/uploads/2020/02/Tata-Power-Delhi-Distribution-Limited-TPDDL-Procurement-Of-Renewable-Power-Non-Solar-On-Short-Term-Basis-2-300x141.png 300w" sizes="(max-width: 526px) 100vw, 526px" /></a>
According to the qualification criteria mentioned in the tender document, the bidder may offer power up to 150 MW indicated in the RfP for the respective period. The supply of power may be offered from either one or more than one source, but each of them shouldn’t offer less than 40 MW.
The company further added that the bidder would quote a single tariff at the delivery point which will include capacity charge, energy charge, trading margin (in case the bidder is a trader), applicable point of connection charges/ losses up to the delivery point, and all taxes, duties, and cess. Tata Power-DDL will procure power from the successful bidders in the order of their rankings, which will be decided based on their quoted tariffs.
The successful bidder will also be responsible for booking the open access transmission corridor to the regional load dispatch center (RLDC) in line with the applicable short-term open access regulations. Presently, open access can be applied for three months in advance.
Last year, the Appellate Tribunal for Electricity (<a href="http://www.aptel.gov.in/" target="_blank" rel="noopener noreferrer">APTEL</a>) provided <a href="https://mercomindia.com/aptel-stalls-derc-from-imposing-penalty-tata-power-discom-rpo-non-compliance/" target="_blank" rel="noopener noreferrer">relief</a> to the TPDDL after the Delhi Electricity Regulatory Commission penalized it for not meeting its renewable purchase obligation. The DISCOM had argued that the commission imposed a penalty due to misinterpretation of facts which, according to the company, “is absolutely an erroneous assumption.” The DERC had <a href="https://mercomindia.com/delhi-penalizes-three-discoms-defaulting-rpo/" target="_blank" rel="noopener noreferrer">imposed penalties</a> of ₹17.2 million (~$240,000) last week on TPDDL and ₹28.8 million (~$410,000) each on BSES Yamuna Power Ltd. (BYPL) and BSES Rajdhani Power Ltd. (BRPL).
Recently, the Maharashtra Electricity Regulatory Commission (<a href="https://www.merc.gov.in/" target="_blank" rel="noopener noreferrer">MERC</a>) <a href="https://mercomindia.com/tata-power-procure-solar/" target="_blank" rel="noopener noreferrer">gave its approval</a> to Tata Power Company Limited-Distribution (TPC-D) to procure 150 MW of power on a long-term basis from solar projects at a tariff of ₹2.83 (~$0.039)/kWh.

Tata Power Seeks to Procure 150 MW of Non-Solar Renewable Power on a Short-Term Basis

The Haryana Power Purchase Center has come up with a tender to purchase short term non-solar renewable power between April 1 and October 1, 2019.
The non-solar renewable power will be purchased at 120 MW/month.
To qualify for this tender, a bidder should not quote less than 5 MW of power from a single source of generation. The technical bids will open February 7, 2019 and the earnest money deposit required is ₹30,000 (~$417.69) per MW/month.
Haryana Power Purchase Center is a joint venture between Uttar Haryana Bijli Vitran Nigam and Dakshin Haryana Bijli Vitran Nigam.
<a href="https://mercomindia.com/vedanta-eoi-odisha-solar/" target="_blank" rel="noopener">Recently,</a> <a href="http://vedantaaluminium.com/" target="_blank" rel="noopener">Vedanta Limited</a> also invited an Expression of Interest (EoI) for the procurement of solar power under short or medium term basis from solar power generators, state electricity boards and utilities, independent power producers and traders.
<a href="https://mercomindia.com/ntpc-1000-mw-solar-wind-power/" target="_blank" rel="noopener">In November 2018,</a> the National Thermal Power Corporation (<a href="https://www.ntpc.co.in/" target="_blank" rel="noopener">NTPC</a>) announced it was planning to procure 1,000 MW of renewable energy on a short-term basis.
<a href="https://mercomindia.com/haryana-tender-20-mw-rooftop-solar-resco/" target="_blank" rel="noopener">In January 2019,</a> Haryana Renewable Energy Development Agency (<a href="http://hareda.gov.in/" target="_blank" rel="noopener">HAREDA</a>) had issued a tender for 20 MW of grid-connected rooftop solar projects to be developed across the state. The bid-submission deadline is February 15, 2019.
<a href="https://mercomindia.com/herc-regulations-solar-power-rpo/" target="_blank" rel="noopener">In July 2018</a>, Haryana Electricity Regulatory Commission (<a href="https://herc.gov.in/" target="_blank" rel="noopener">HERC</a>) issued an order amending the terms and conditions for determination of tariff from renewable energy sources, renewable purchase obligation and renewable energy certificate.
Earlier, <a href="https://mercomindia.com/herc-approves-petition-power-non-solar-rpo/" target="_blank" rel="noopener">Mercom reported</a> that the HERC approved a petition for the procurement of power from green energy sources other than solar with the purpose of fulfilling the stipulated renewable purchase obligation. The petition was filed by Haryana Power Purchase Centre. It was seeking permission for the letter of intent for the procurement of non-solar renewable energy to fulfil its RPO.

Haryana Seeks to Buy 120 MW Short Term Non-Solar Renewable Power From April-October 2019

The Central Electricity Regulatory Commission (CERC) has finalized the amended regulations for open access in interstate transmission, which were initially passed in 2008. The new regulations will be in effect from the day of publishing in the official gazette.
The CERC had <a href="https://mercomindia.com/cerc-amends-open-access-interstate-regulation/" target="_blank" rel="noopener">proposed</a> the amendments in August 2018. In response to the proposed changes, the CERC received written comments and suggestions from Gujarat Energy Transmission Corporation Ltd. (GETCO), Indian Energy Exchange Ltd (IEX), Indian Energy Regulatory Service (IERS), Maharashtra State Electricity Distribution Company Ltd. (MSEDCL), Madhya Pradesh Power Management Company Ltd. (MPMCL), Multitudes Intellect and Open Access Users Association Ltd. (OAUA). The IEX and NLC India Ltd (NLCIL) also made oral submissions at the public hearing held by CERC.
After going through the comments of various stakeholders, the commission stated, “Process followed for granting short-term open access may vary from state to state. Some of the states such as Gujarat, Telangana, have implemented their software for processing the short-term open access applications in accordance with their open access regulations. To avoid any conflict with the procedure followed by different states, it has been envisaged that National Open Access Registry (NOAR) will be designed in such a manner that it can be seamlessly interfaced with the state load dispatch centers (SLDCs)’ software for processing the short-term open access applications pertaining to interstate transmission system.”
The CERC also observed that the duration of three months for the standing clearance is the ceiling and an open access applicant can apply for short-term open access for a period less than three months and the concerned regional load dispatch centers can grant short-term open access for a period less than three months depending upon the availability of transmission capacity.
A maximum period of validity of three months has been prescribed by the CERC as it would reduce the time and effort on the part of both the short-term open access applicant, as well as the dispatch centers.
The commission has removed the ‘underutilization of transmission corridor’ as one of the criteria for revising the standing clearance. Now, the dispatch centers will comprehensively review the situation and do a prudence check while issuing the standing clearance to the applicant.
In <a href="https://mercomindia.com/cerc-procedural-guidelines-ists/" target="_blank" rel="noopener">May 2018</a>, the <a href="http://cercind.gov.in/" target="_blank" rel="noopener">CERC</a> had released procedural regulations for granting inter-state transmission system (ISTS) connectivity to renewable energy projects. <a href="https://mercomindia.com/cerc-raft-regulation-deviation-settlement/" target="_blank" rel="noopener">In July</a> 2018, CERC issued regulations for Draft Central Electricity Regulatory Commission (Deviation Settlement Mechanism and related matters) for 2018.

CERC’s Final Amendment to Interstate Open Access Power Regulations

The National Thermal Power Corporation (<a href="https://www.ntpc.co.in/" target="_blank" rel="noopener">NTPC</a>) is going to procure 1,000 MW of renewable energy on a short-term basis. NTPC has issued a tender to procure power from the existing solar photovoltaic (PV) power projects and wind power projects of cumulative capacity up to 1,000 MW. Selection of power generators will be carried out through reverse bidding.
The minimum offered capacity from a single renewable energy project will be 50 MW and in multiples of 10 MW thereafter. A bidder can offer power from multiple solar and wind power projects. A single bidder must quote one tariff for all the projects that he/she intends to sell power from. A single bidder can choose to supply the entire capacity that the NTPC is looking to procure, 1,000 MW.
The bid-submission deadline is December 20, 2018. The solar PV or wind projects can be located anywhere in India. Bidders must indicate the location of the projects at the tie of bidding. Renewable energy projects having interstate transmission system (ISTS) connectivity will be eligible for participating in this tender.
The entire cost of transmission, including the cost of construction of line, wheeling charges, losses will be borne by the power generator and will not be reimbursed by NTPC or met by the state transmission utility (STU)/central transmission utility (CTU)/ distribution company (DISCOM).
The responsibility of getting medium term open access (MTOA) to the transmission system owned by the CTU will lie with NTPC and will be at the cost of NTPC.
The bidders will have to submit bids quoting a fixed levelized tariff for entire power purchase agreement (PPA) duration of one year. This will be the “First Round Tariff Bid” of the bidder after which the shortlisted bidders will be invited for the reverse auction. The ceiling limit for “First Round Tariff Bid” will be ₹2.67 (~$0.037)/kWh. Any bid with “First Round Tariff Bid” higher than the ceiling limit of ₹2.67/kWh will be rejected.
According to NTPC, the PPA will be signed between NTPC and successful bidders. The PPA will be executed within 120 days of the date of issue of Letter of Intent. Separate PPA will be executed between NTPC and power generator for each project.
The PPA will be for a period of one year from the scheduled date of commencement of supply of power. The PPA will be extendable up to six months if mutually agreed by NTPC and power generator. The PPA tariff will remain fixed for entire duration of PPA.
A <a href="https://mercomindia.com/ntpc-tender-1-2-gw-solar-maharashtra/" target="_blank" rel="noopener">few weeks ago</a>, NTPC tendered 1,200 MW of interstate transmission system (ISTS)-connected solar photovoltaic (PV) projects to be developed in the western region of the country. The bid-submission deadline is December 19, 2018. <a href="https://mercomindia.com/ntpc-tender-60mw-solar-130mw-wind-hybrid/" target="_blank" rel="noopener">Before that</a>, it invited bids for the development of wind-solar hybrid power project at NTPC, located in Kudgi, Karnataka.
<a href="https://mercomindia.com/merc-msedcl-renewable-bidding/" target="_blank" rel="noopener">Similarly, back in December 2017</a>, Maharashtra State Electricity Distribution Company Limited (<a href="https://www.google.com/url?sa=t&amp;rct=j&amp;q=&amp;esrc=s&amp;source=web&amp;cd=1&amp;cad=rja&amp;uact=8&amp;ved=0ahUKEwi3tv6uoJXYAhVD8IMKHepjCLoQFggpMAA&amp;url=http%3A%2F%2Fwww.mahadiscom.com%2F&amp;usg=AOvVaw2QxivFcdTQaLrnZ2QmlQTP" target="_blank" rel="noopener">MSEDCL</a>) had won the approval to procure wind, solar, and bagasse‑based cogeneration power at a rate discovered through a tariff‑based competitive bidding process. The Maharashtra Electricity Regulatory Commission (<a href="https://www.google.com/url?sa=t&amp;rct=j&amp;q=&amp;esrc=s&amp;source=web&amp;cd=1&amp;cad=rja&amp;uact=8&amp;ved=0ahUKEwjA_q--oJXYAhWI2YMKHfUxA-EQFggpMAA&amp;url=http%3A%2F%2Fwww.mercindia.org.in%2F&amp;usg=AOvVaw1c9yQPF60gFUZwOCtJu29q" target="_blank" rel="noopener">MERC</a>) approved MSEDCL’s petition so that the agency could effectively procure the power it needs to meet its Renewable Purchase Obligation (RPO). Rates could be discovered for the procurement of power on a short-term, medium-term, and long-term basis.
<a href="https://mercomindia.com/ntpc-acme-solar-tariff-dispute-2-gw-auction/" target="_blank" rel="noopener">Meanwhile</a>, NTPC and project developer ACME Solar have been embroiled in a legal battle pertaining to a recent solar auction for the development of 2 GW of solar projects.
&nbsp;

NTPC to Procure 1,000 MW of Power from Existing Solar and Wind Projects on Short-Term Basis

The Maharashtra Electricity Regulatory Commission (<a href="http://www.mercindia.org.in/" target="_blank" rel="noopener">MERC</a>) has approved the tariff proposed by Maharashtra State Electricity Distribution Company Limited (<a href="https://www.google.com/url?sa=t&amp;rct=j&amp;q=&amp;esrc=s&amp;source=web&amp;cd=1&amp;cad=rja&amp;uact=8&amp;ved=0ahUKEwi3tv6uoJXYAhVD8IMKHepjCLoQFggpMAA&amp;url=http%3A%2F%2Fwww.mahadiscom.com%2F&amp;usg=AOvVaw2QxivFcdTQaLrnZ2QmlQTP" target="_blank" rel="noopener">MSEDCL</a>) for the short-term procurement of 250 MW of wind power under non-solar renewable purchase obligations (RPO).
The MERC has approved the changes proposed by the MSEDCL to the wind <a href="https://mercomindia.com/competitive-bidding-guidelines-wind-projects/" target="_blank" rel="noopener">bidding guidelines issued by Ministry of Power</a> in December 2017.
Changes Proposed by MSEDCL and Accepted by MERC
<ul>
<li>The power purchase agreement (PPA) period will be 8 years from the date of execution of the PPA.</li>
<li>Both existing as well as proposed intra-state wind power projects of minimum 1 MW capacity that are to be commissioned on or before March 31, 2019 will be eligible to participate in the proposed tender by MSEDCL.</li>
<li>The declared annual capacity utilization factor (CUF) will be a minimum of 17 percent.</li>
<li>Repowering will be allowed with prior approval of MSEDCL and only once for a maximum period of 6 months in the PPA term of 8 years.</li>
</ul>
MSEDCL had requested MERC to approve ₹2.52 (0.036)/kWh as the ceiling tariff for this tender and MERC ruled in its favor.
The MSEDCL had petitioned MERC as wind energy purchase agreements (EPAs) aggregating 628.7 MW expired in financial year (FY) 2017-18 and FY 2018-19. Moreover, 52.75 MWs are expiring in FY 2017-18 and balance of 575.95 MW will be expiring in FY 2018-19.
<a href="https://mercomindia.com/merc-approves-msedcl-wind-tariff/" target="_blank" rel="noopener">Recently</a>, MERC also approved the tariff proposed by MSEDCL for the long-term procurement of 500 MW of wind power under non-solar renewable purchase obligations (RPO).
<a href="https://mercomindia.com/msedcl-1gw-tender-oversubscribed/" target="_blank" rel="noopener">Earlier, Mercom reported</a> that (<a href="https://www.google.com/url?sa=t&amp;rct=j&amp;q=&amp;esrc=s&amp;source=web&amp;cd=1&amp;cad=rja&amp;uact=8&amp;ved=0ahUKEwi3tv6uoJXYAhVD8IMKHepjCLoQFggpMAA&amp;url=http%3A%2F%2Fwww.mahadiscom.com%2F&amp;usg=AOvVaw2QxivFcdTQaLrnZ2QmlQTP" target="_blank" rel="noopener">MSEDCL</a>)’s 1 GW grid-connected solar PV tender had been oversubscribed by 450 MW. The MSEDCL had retendered 1,000 MW of grid-connected solar PV projects to meet its Renewable Purchase Obligation (RPO) in <a href="https://mercomindia.com/msedcl-retenders-1-gw-solar-meet-rpo/" target="_blank" rel="noopener">April 2018</a>.

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