Petition for Adoption of Tariff for setting up of 1200 MW ISTS Connected Wind-Solar Hybrid Power Projects (HYBRID-3) in India by the Ministry of Power – EQ
Summary:
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#### 1. Project & Regulatory Overview
– **Core Objective:** SJVN sought the adoption of tariffs discovered through a competitive bidding process for a large-scale wind-solar hybrid power project. This is a **post-bid, regulatory approval** step required under the Electricity Act, 2003.
– **Project Scope:** 1200 MW of Inter-State Transmission System (ISTS)-connected Wind-Solar Hybrid Power Projects to be set up anywhere in India.
– **Legal Basis:** The petition was filed under **Section 63 of the Electricity Act, 2003**, which mandates that the Appropriate Commission (CERC) shall adopt the tariff if it has been determined through a transparent bidding process in accordance with government guidelines.
– **Governing Guidelines:** The Ministry of Power’s “Guidelines for Tariff Based Competitive Bidding Process for Procurement of Power from Grid Connected Wind-Solar Hybrid Projects” (dated 21.08.2023).
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#### 2. The Bidding Process & Outcome
– **Role of SJVN:** SJVN acted as the **Intermediary Procurer / Renewable Energy Implementing Agency (REIA)** , conducting the bidding process on behalf of end DISCOMs. It will earn a trading margin of up to ₹0.07/kWh for this role, subject to payment security arrangements.
– **Key Dates:**
– RfS Issued: **28.06.2024**
– e-Reverse Auction: **05.11.2024**
– Letters of Award (LoAs) Issued: **04.12.2024**
– **Bidding Response:** The tender saw **robust participation**. 15 bidders submitted bids for a total cumulative capacity of **3,700 MW** against the offered 1,200 MW, indicating strong market interest.
– **Successful Bidders & Discovered Tariff:** After a single-stage, two-envelope bidding process followed by an e-reverse auction, five successful bidders were awarded a total of 1,200 MW capacity at a **uniform tariff of ₹3.19/kWh**.
| Sr. No. | Successful Bidder | Contracted Capacity | Tariff (₹/kWh) |
| :— | :— | :— | :— |
| 1. | M/s Adyant Enersol Private Limited | 70 MW | 3.19 |
| 2. | M/s Gentari Renewables India Utilities 2 Pvt. Ltd. | 400 MW | 3.19 |
| 3. | M/s Juniper Green Energy Private Limited | 300 MW | 3.19 |
| 4. | M/s EG Energy Development Private Limited | 300 MW | 3.19 |
| 5. | M/s Sunsure Solarpark RJ One Private Limited | 130 MW | 3.19 |
| | **Total** | **1200 MW** | |
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#### 3. Key Business Considerations & Regulatory Analysis
– **SJVN’s Role & URET Mechanism:** The project was initially intended to be part of the Uniform Renewable Energy Tariff (URET) Central Pool. However, the Ministry of Power withdrew the URET scheme on 01.08.2025. SJVN clarified that this withdrawal did not affect the validity of the bids or LoAs, as they remain valid on a standalone basis. The CERC accepted this position, ensuring project continuity.
– **Conformity & Transparency:** SJVN provided a Conformity Certificate from its Evaluation Committee, confirming that the bidding process was strictly in line with the RfS and the Ministry of Power’s Guidelines. The high level of participation (3.7 GW bid for 1.2 GW offered) was cited as evidence of a transparent and competitive process.
– **Trading Margin Approval:** The CERC allowed the trading margin of ₹0.07/kWh for SJVN, but with a critical condition:
– If SJVN provides the required payment security (escrow or irrevocable, revolving LC) to the generators, the **full ₹0.07/kWh** margin applies.
– If such payment security is **not** provided, the trading margin is capped at **₹0.02/kWh** as per the Trading License Regulations.
– **Financial Security for Developers:** The LoA mandates significant financial commitments from successful bidders, including:
– **Success Charges:** ₹1.00 Lakh/MW (+18% GST) within 30 days of LoA.
– **Performance Bank Guarantee (PBG):** ₹30.65 Lakhs/MW before signing the PPA.
– **Financial Closure:** Must be achieved six months prior to the Scheduled Commercial Supply Date (SCSD).
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