Gujarat Urja Vikas Nigam Limited (GUVNL) has launched a tender for 500 MW of solar power capacity in Gujarat. GUVNL is an electrical services umbrella company in the state of Gujarat, India that was created by the Gujarat Electricity Board.
Out of the total capacity tendered, 425 MW is open for any bidder, the remaining 75 MW can be allotted to central public sector undertakings (PSUs), state PSUs and government controlled organizations, provided they will execute PPAs with GUVNL at the lowest tariff discovered.
Bidders, other than central/state PSUs, can bid for a minimum capacity of 25 MW. Along with generating power, they will also need to ensure that clean energy is delivered within the periphery of Gujarat Energy Transmission Corporation (GETCO) at their own cost.
GUVNL will sign PPAs for 25 years with successful bidders within a month from the issuance of date of letter of award (LoA). The capacity will be allocated on first come first serve basis. Financial closure will need to be announced within nine months from the date of issue of the LoA. The agency expects tariffs in the range of 2.50 INR ($0.039) per kWh.
The last reported lowest winning tender in India's solar power auctions was in May 2017 when ACME won a capacity for 2.44 INR ($0.037) per kWh in the Bhadla Phase III Solar Park (see ACME Wins 200 MW At 2.44 INR Record).
Bids can be submitted until July 10, 2017. Tender details will be available on the website of GUVNL.
According to market research firm Mercom, Gujarat had an installed solar power capacity of 1,142 MW in operation and 260 MW under development end of Q1/2017. GUVNL has also tendered 500 MW of wind power capacity.