NTPC RE Limited, the wholly owned subsidiary of Indian utility NTPC, is gauging interest among solar module suppliers to enter into strategic tie-ups for close to 15 GW capacity, to be delivered over a minimum period of 5 years. NTPC said the subsidiary NTPC RE Limited will ensure all future organic additions for the parent company.

This 15 GW is the capacity that NTPC RE wants to add by FY 2025, and scale it to around 44 GW by FY 2032, as part of its plans to install 60 GW renewables capacity by 2032 which would increase its renewable energy market share to 12% to 14% (see NTPC Targeting 60 GW Renewables Capacity By 2032).

According to the expression of interest (EOI) launched, the utility is open to sourcing these modules comprising cells that could be either domestically manufactured or sourced from anywhere around the world. Long term deals could be signed either through direct sourcing tie-ups or through contract manufacturing.

The EOI is open to any company that already has its manufacturing base in India or is planning to set up its facilities in the next 6 months under Government of India’s Production Linked Incentive (PLI) Scheme.

Through this EOI, the NTPC wants to evaluate the upcoming capacities of domestic solar PV module makers, their techno-commercial requirements to initiate the process of long-term sourcing tie-ups, and understand the various module sizes and technologies being planned by applicants for their solar PV manufacturing plans.

Last date to respond to the EOI is November 8, 2021 and the same will be opened the next day. EOI details are available on NTPC’s tender website with NIT no. NTPC-REL/EOI/01.

A long-term supply of modules, as is mostly the trend among Chinese companies, will also bring the Indian utility certainty of module availability for its future projects. It will also save the NTPC from price unpredictability as is the case of late with various market factors pushing up module prices around the world (see High Module Prices To Impact Project Returns In India).