Telangana – RfS for 500 MW of Solar PV projects released

Telangana, the newest Indian state, has released RfS for selection of 500 MW of Solar Projects. This move follows less than 2 weeks after Andhra Pradesh invited bidders to take part in the allocation of 500 MW of solar projects(more here).

The distribution companies(Discoms) that will be procuring the power are Southern Power Distribution Company of Telangana Limited(TSSPDCL) & Northern Power Distribution Company Limited of Telangana (TSNPDCL) in 9 districts of the state. Before bifurcation, there were 4 discoms in the united Andhra Pradesh.

The Bid submission due date is September 26, 2014. The technical bid opening will be on September 27, 2014 and the financial bid opening will be on October 7, 2014. A pre-bid meeting is scheduled for September 5, 2014.

A bidder can choose between two tariff options – In option 1, there will be a single tariff for the entire 25 years of the PPA duration. In option 2, there will be an escalation of tariff for the first 10 years, and the tariff for the 10th year will continue from the 11th year till the end of the PPA.

Some of the other highlights are given below.

1.  The selection will be through reverse bidding, with no L1 bidding.

2. A bidder can submit bids for any number of projects.

3. There will be a district-wise cap on the capacity determined by the evacuation constraints.

4. Financial Closure – 150 days from the date of signing the Power Purchase Agreement(PPA).

5. Scheduled Commercial Operation Date(SCOD) – 10 months from the date of signing of PPA.

The RfP and the draft PPA can be downloaded  here.

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6 thoughts on “Telangana – RfS for 500 MW of Solar PV projects released”

  1. net-metering should be brought on by all discoms companies of Telanagana along with giving option to all customer of the states having load above 1KW to provide option for surplus solar power at 5 per unit or banking arrangment where customer can supply solar power during day time to discoms and discoms can give same quantum back to customer during night time. as rooftop can be brought on faster with any land acquisition troubles. projects can be either RESCO based on customer owned with interest subsidy can be provided to residential consumers for availing loan for setting up rooftop projects on thr homes. Along with this time of day metering and billing of power can help in DSM measure to smooth out the load curve of discoms.

  2. Prior to all, Banks needs to be active participants for all the solar developers. Atleast they have to now on solar projects instead of regular Personal\Business\Car Loans. Financing is a greatest challenge in India for solar transmission or migration from traditional hyro\coal energy to Solar

  3. I would like to understand the tariff escalation computation methods with ref. to Telangana / AP recently released Bids.
    could you able to explore the numbers for better understanding the escalation tariff.

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