SECI Request for Selection (RfS) for the development of 2,000 MW of solar capacity through a competitive bidding process
The Solar Energy Corporation of India (SECI) recently released a Request for Selection (RfS) for the development of 2,000 MW of solar capacity through a competitive bidding process. The tender, which is the largest of its kind to be issued by SECI, is part of India’s ambitious plan to increase its renewable energy capacity and reduce its carbon footprint.
The SECI tender invites developers to bid for the development of solar projects of a minimum capacity of 50 MW, with a maximum capacity of 1,200 MW. The projects are to be located across India and will be connected to the Inter-State Transmission System (ISTS). The deadline for submission of bids is May 31, 2023.
One of the key features of the tender is the provision for a fixed tariff for 25 years. The tariff has been set at INR 2.50 ($0.03) per kWh, which is one of the lowest tariffs ever offered for solar power in India. The tariff will be escalated by INR 0.05 ($0.0007) per kWh every year for the first 15 years and thereafter remain fixed until the end of the contract period.
The SECI tender has been designed to encourage the use of domestically manufactured solar cells and modules. Developers who use domestically manufactured solar cells and modules will be eligible for a higher tariff of INR 0.05 ($0.0007) per kWh. This is in line with the Indian government’s Make in India initiative, which aims to promote domestic manufacturing and reduce the country’s dependence on imports.
The SECI tender also includes a provision for the development of energy storage projects. Developers can bid for a bundled project that includes both solar and energy storage or separately for energy storage. The capacity of the energy storage project cannot exceed 600 MW.
The SECI tender is expected to attract significant interest from both domestic and international developers. India has emerged as one of the world’s largest markets for solar energy, with a target to achieve 175 GW of renewable energy capacity by 2022. The country has already achieved a renewable energy capacity of 138.9 GW as of January 2022, with solar energy accounting for more than 50% of the total capacity.
In conclusion, the SECI 2000 MW solar tender is a significant step towards achieving India’s renewable energy targets and reducing its carbon footprint. The provision for a fixed tariff, coupled with incentives for the use of domestically manufactured solar cells and modules, is likely to attract significant interest from developers. The inclusion of energy storage projects is also a positive step towards the integration of renewable energy into the grid. The tender is expected to provide a significant boost to the Indian solar industry and help India achieve its goal of becoming a leader in renewable energy.
Download the tender: https://www.seci.co.in/Upload/Tender/SECI000102-6271543-RfSfor2000MWSolar-ISTS-XI-finalupload.pdf