SECI Launches RFS For 2 GW Tender Under CPSU Scheme

INR 3.50 ($0.051)/kWh Tariff Cap For 2 GW Grid Connected Solar PV Project Capacity To Be Developed Under SECI’s Tender For CPSU Phase-II (Tranche-I)
04:05 PM (Beijing Time) - 22. March 2019
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Key Takeaways

  • SECI has come out with request for selection (RFS) documents for its 2 GW tender under CPSU scheme Phase II (Tranche-I)
  • Ceiling tariff has been capped at INR 3.50 ($0.051) per kWh for successful projects
  • Maximum VGF availability is INR 7 million ($0.1 million) and bidders who do not wish to use it, will have to submit bids by offering zero VGF
  • Projects can be located across the country and can be bid for in the multiples of 10 MW, with minimum capacity being 10 MW and maximum 2 GW

The Solar Energy Corporation of India (SECI) has issued detailed request for selection (RFS) documents for 2 GW grid-connected solar PV power projects under its Central Public Sector Undertaking (CPSU) scheme Phase-II (Tranche-I). In the beginning of March 2019, it had announced the tender (see SECI NIT For 3.4 Solar Capacity).

Main condition under this scheme is the mandate for domestically manufactured PV cells and modules. Winning developers will be expected to ensure land, connectivity and long-term open access for the project capacity.

Projects will be developed on a build-own-operate (BOO) basis with tariffs capped at INR 3.50 ($0.051) per kWh, exclusive of other third-party charges as wheeling and transmission charges and losses, cross-subsidy charges, and the like. Maximum viability gap funding (VGF) limit for winning projects will be INR 7 million ($0.1 million). Bidders will need to submit bids offering VGF amount in INR per MW. Those bidders who do not wish to avail the VGF, can submit the bids by offering zero VGF.

Since projects under this scheme will be set up for self-consumption or for use by government entities, government producers will have to submit an undertaking that there will be no commercial sale or resale of power. Government producers may either set up the capacity through in-house EPC facility or by conducting an open competitive bidding process.

Projects may be installed anywhere across the country and designed for inter-connection with the grid at voltage level. Minimum project capacity will be 10 MW and maximum will be entire 2 GW, to be developed in multiples of 10 MW.

Detailed RfS documents are available on the website of SECI.

In February 2019, SECI had launched a tender for 1 GW solar under the CPSU scheme Phase II, however, tender documents for the 2 GW capacity have been made available first (see SECI Tenders For Over 1 GW Solar). The Government of India has pledged INR 85.8 billion ($1.2 billion) VGF for the 12 GW grid connected solar power capacity for government consumption under CPSU Phase II using domestically manufactured PV cells and modules (see India To Develop 12 GW Solar PV With Local Modules).

Anu Bhambhani

Anu Bhambhani is the Senior News Editor of TaiyangNews

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Anu Bhambhani