Global Invitation for selection of Transmission Service Provider to establish Transmission system for the project namely “Transmission System for Proposed Green Hydrogen / Green Ammonia projects in Vizag area, Andhra Pradesh – EQ

Summary:

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### **1. Project Overview**

* **Project Name:** Transmission system for proposed Green Hydrogen / Green Ammonia projects in Vizag area, Andhra Pradesh (Phase-I).
* **Objective:** To create a transmission system capable of handling approximately 4,500-5,000 MW of power demand from new Green Hydrogen/Green Ammonia projects and datacenter loads in the Vizag region.
* **Bid Process Coordinator (BPC):** REC Power Development and Consultancy Limited (RECPDCL), a wholly-owned subsidiary of REC Limited.
* **Nodal Agency (Counterparty):** Central Transmission Utility of India Limited (CTUIL).
* **Project SPV:** A Special Purpose Vehicle (SPV) company has already been incorporated. The successful bidder will acquire 100% equity in this SPV.

### **2. Project Scope (Technical Snapshot)**

The TSP is responsible for the design, engineering, financing, procurement, construction, operation, and maintenance of the following key elements:

* **New Substations:**
* **Pendurthi (Vizag):** A 4×1500 MVA, 765/400 kV GIS substation.
* **Khammam-II:** A 3×1500 MVA, 765/400 kV substation.
* **Substation Extensions:**
* Extension of Srikakulam, Warangal New, and Khammam (existing) substations.
* **New Transmission Lines:**
* Pendurthi (Vizag) – Srikakulam 765 kV D/c (Double circuit) line.
* Khammam-II – Warangal New 765 kV D/c line.
* Khammam-II – Pendurthi (Vizag) 765 kV D/c line.
* Khammam-II – Khammam (existing) 400 kV D/c line.
* **Reactive Compensation:**
* LILO (Loop-In-Loop-Out) of the Kalpakka – Maradam 400 kV line at Pendurthi.
* STATCOM, line reactors, and bus reactors at various locations to ensure grid stability.
* **Scheduled Commercial Operation Date (COD):** 30 months from the Effective Date.

### **3. Bidding Process & Key Timelines**

This is a single-stage, two-envelope process conducted electronically on the MSTC platform.

| Activity | Key Dates |
| :— | :— |
| **RFP Issuance** | **03.02.2026** |
| **Last Date for Seeking Clarifications** | 23.02.2026 |
| **Pre-Bid Meeting** | 26.02.2026 |
| **Final RFP Project Documents Issued** | 23.03.2026 |
| **Bid Submission Deadline** | **07.04.2026 (up to 1500 Hrs IST)** |
| **Technical Bid Opening** | 07.04.2026 (1530 Hrs IST) |
| **Opening of Financial Bids (Initial Offer)** | 16.04.2026 |
| **E-Reverse Auction (Final Offer)** | 17.04.2026 |
| **Issue of Letter of Intent (LOI)** | 27.04.2026 |
| **Signing of Agreements & SPV Transfer** | 07.05.2026 |

### **4. Bidder Qualification Requirements (Business Eligibility)**

To qualify, a bidder (single company or consortium) must meet stringent technical and financial criteria:

**A. Technical Requirements (Must meet any one):**
1. **Development Experience:** Experience in infrastructure projects over the last 5 years with an aggregate capital expenditure of at least **Rs. 3,935 Crore** (approx. US$ 450 million), with no single project being less than **Rs. 787 Crore**.
2. **Construction Experience:** Received aggregate payments of at least **Rs. 3,935 Crore** from construction works in the last 5 financial years, with no single project payment being less than **Rs. 787 Crore**.

**B. Financial Requirement:**
* **Net Worth:** The Bidder must have a minimum Net Worth of **Rs. 1,574 Crore** (approx. US$ 180 million) in any of the last three financial years.

**Key Business Rules for Qualification:**
* **Lead Member (for Consortium):** Must hold at least **26% equity** in the project and meet the technical requirement.
* **Parent/Affiliate Support:** Bidders can use the technical/financial capability of their Parent or Affiliate companies.
* **Single Bid:** A company cannot be part of more than one bid in this process.

### **5. Commercial & Financial Structure**

* **Basis:** Build, Own, Operate, and Transfer (BOOT).
* **Term:** 35 years from the COD of the project.
* **Revenue Model:** The TSP receives a fixed annual **Transmission Charge** quoted in the bid. Payment is made monthly by the CTUIL, subject to the availability of the transmission system (Target Availability is **98%**).
* **Tariff Determination:** The final tariff is discovered through a two-stage financial bid process:
1. **Initial Offer:** Submitted with the technical bid.
2. **E-Reverse Auction:** Only the top bidders (top 50% or top 4, whichever is higher) from the Initial Offer qualify to bid online in real-time to offer the lowest final tariff. The bidder with the lowest final offer wins.
* **Bid Cost (Non-Refundable):** **Rs. 5,00,000** or **US$ 7,000** + 18% GST.
* **Bid Bond (EMD):** **Rs. 78.70 Crore**. Must be submitted with the bid.

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