UPNEDA Tenders 1 GW Grid-Connected Solar Projects

The Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA) has tendered 1 GW of grid-connected solar photovoltaic (PV) projects to be developed across the state. The bid-submission deadline is February 6, 2018.

This is a global tender and the projects will be developed on a ‘build own operate’ basis. The scope of work includes design, supply, construction, procurement, installation, testing, and commissioning of the project.

When contacted about the development, a UPNEDA official told Mercom, “The minimum project size for a bidder is 5 MW and the maximum project size is 1,000 MW.”

The developers can choose to develop the projects at a single location or at multiple locations, depending on their convenience and land availability. No upper tariff ceiling has been set for this tender, the official said.

Recently, the Solar Energy Corporation of India (SECI) auctioned 500 MW in Bhadla Phase-III and  250 MW in Bhadla Phase-IV solar park auctions. “The power from these projects will be supplied exclusively to Uttar Pradesh. If we look at the ongoing trend, project costs are on a decline everywhere, and not just in the case of solar parks. Despite no upper tariff ceiling, we (UPNEDA) are expecting the tariff to be around ₹3.50 (~$0.055)/kWh mark,” the UPNEDA official added.

The UPNEDA has specified that the tender would strictly adhere to the Ministry of Power guidelines for competitive bidding.

In August 2017, Mercom had reported that the Ministry of Power issued final guidelines for the tariff-based competitive bidding process for solar projects. The guidelines apply to large‑scale projects with a capacity of 5 MW or more.

In November 2017, Mercom reported that the Uttar Pradesh Renewable Energy Commission (UPERC) has adopted ₹7.02 (~$0.11)/kWh as the new tariff for solar projects tendered in financial year 2015-16.

In December 2017, Mercom reported that the Uttar Pradesh’s cabinet of ministers approved the state’s Solar Policy 2017 and gave it a retroactive effective date of November 6, 2017. The policy will remain in place for five years unless a new policy is put in place.