The Tamil Nadu Electricity Regulatory Commission (TNERC) has permitted the Tamil Nadu Generation and Distribution Corporation (TANGEDCO) to float another tender to procure 500 MW of solar power through competitive bidding. The move follows the tepid response to TANGEDCO’s earlier tender, which drew 20 bidders for setting up solar power plants in the State for a combined capacity of 122 MW. The benchmark rate for the tender was ₹5.10 per unit.
Of the 20 bidders, two companies — GRT & Sons and GRT Firm — had quoted the lowest rate of ₹4.50 per unit with respect to their proposed solar power plants of 10 MW each, TANGEDCO stated in a petition to TNERC.
The power utility added that the rate offered by the eligible bidders (GRT & Sons and GRT) was more competitive and that it had accepted their bids.
However, of the 500-MW capacity in total, only 20 MW had been finalised during the earlier tender. Hence, TANGEDCO has proposed to float another tender for 500-MW capacity through the reverse bidding process (e-bidding), the petition said. TANGEDCO has sought a procurement price of ₹4.50 per unit in the proposed new tender.
The procurement of solar power was aimed at meeting the solar renewable purchase obligation of five per cent that has been fixed for the year 2017-18.