Uttar Pradesh Invites Bids for 200 MW in its Private Sector Owned Solar Park

The Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA) has invited bids from a selection of solar park developers to develop 200 MW solar park in the state through tariff-based competitive bidding process.

The solar park is to be developed according to the guidelines to set up private solar park in the state under Uttar Pradesh Solar Energy Policy 2017 and the guidelines issued by the Ministry of New and Renewables Energy (MNRE).

The Uttar Pradesh government will provide support for strengthening the grid network, while the DISCOMs will offer to purchase 100 percent power generated by the solar park, and also allow full sale to a third party under the Solar Energy Policy 2017. The earnest money deposit for the project is ₹200,000 (~$2,780) per MW.

The last date for bid submission is December 10, 2018. Technical bids will open on December 11, 2018 and the financial bids will open on December 19, 2018.

A UPNEDA official confirmed the issue of the solar tender to Mercom, adding, “As per ministry’s guidelines, we are expecting the private sector to actively participate. We have offered bids for 200 MW now and the minimum capacity to be set up is 50 MW.”

The minimum capacity for each solar park will be 50 MW. Though a bidder can apply for a maximum of 200 MW and set up the projects at multiple locations, at one location the minimum capacity must be 50 MW. A bidder can only bid for a capacity in multiples of 50 MW.

The solar power park developer will also be responsible for creating the internal transmission system, forecasting and scheduling, acquiring the land, and operations and maintenance services.

In December 2017, Uttar Pradesh government finalized the state’s solar policy and set a target of 10,700 MW for solar power, including 4,300 MW from rooftop solar projects, by FY 2022.  Recently, Uttar Pradesh Electricity Regulatory Commission (UPERCamended its Captive and Renewable Energy Generating Projects (CRE) Regulations 2014 with changes that are expected to reduce the cost of solar power procured from standalone projects in the state.

Then in July 2018, UPNEDA issued draft guidelines for setting up private solar park in the state. According to the draft guidelines, “The Uttar Pradesh state government will provide support in grid strengthening for development of private solar parks. The state through its distribution company (DISCOM) Uttar Pradesh Power Corporation Limited (UPPCL), will offer to purchase 100 percent power generated from the solar park. The state will also allow sale of entire energy generated to any third party through open access from such a solar park.” Under the draft guidelines, a private player can develop solar park either by taking the MNRE grant, or on its own.

Recently, Mercom reported that UPNEDA invited bids for 550 MW of grid connected solar PV power projects.

Nitin is a staff reporter at Mercomindia.com and writes on renewable energy and related sectors. Prior to Mercom, Nitin has worked for CNN IBN, India News, Agricultural Spectrum and Bureaucracy Today. He received his bachelor’s degree in Journalism & Communication from Manipal Institute of Communication at Manipal University and Master’s degree in International Relations from Jindal School of International Affairs. More articles from Nitin Kabeer