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Azure Power looks to cancel 100MW bid, writes to GUVNL

Azure Power looks to cancel 100MW bid, writes to GUVNL


AHMEDABAD: Azure Power has sought to cancel the 100MW bid that it won in an auction conducted this month by Gujarat Urja Vikas Nigam Limited (GUVNL). The solar power company dashed off a letter to the state-run power utility seeking to withdraw its bid.

Azure Power emerged as the third successful bidder in a reverse auction carried out by GUVNL on September 17. Of the 500MW of solar capacity on the block, Aditya Birla Renewables and Giriraj Renewables bagged contracts for 100MW and 300MW respectively for Rs 2.44/unit. Although Azure Power bid for a total of 500MW, it won just 100MW at Rs 2.45/unit.

“Azure Power recently wrote to GUVNL to withdraw its bid for 100MW. However, GUVNL officials are yet to take a call on it,” said a source privy to the development. Azure Power could not be reached for comment despite repeated attempts.

Azure Power has the option to decline the awarded capacity according to provisions of the bid document. One source explained, “According to the provisions, the last selected bidder (Azure Power in this case) has the option to refuse the offered capacity if it is less than 50% of the total capacity quoted by the bidder. Being the last successful bidder, Azure was offered 100MW against the total 500MW bid by the company. This means, the offered capacity is less than 50% and the company can withdraw the bid,” the source explained.

“The price quoted by the company may not have been viable for partial capacity,” a source added. The tariff of Rs 2.44 per unit discovered through the auction is among the lowest in the country.

Bids invited for 700MW projects at Radhanesda Solar Park

After inviting expression of interests (EoI) to develop solar power projects in the region of 1,000MW at the Dholera mega solar park, GUVNL floated a tender to buy power from 700MW grid-connected solar photovoltaic projects to be developed at the Radhanesda solar park in Banaskantha. The last date for submitting bids is November, 15, 2018.

Source: timesofindia.indiatimes
Anand Gupta Editor - EQ Int'l Media Network


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