BSES and SECI Sign Agreement for 200 MW Wind Energy

The two discoms will procure capacity from SECI which will act as an intermediary procurer, a company statement said.

Power discoms owned by Reliance Infrastructure in Delhi, BSES Yamuna (BYPL) and BSES Rajdhani (BRPL) have signed an agreement with Solar Energy Corporation of India (SECI) for sourcing 200 MW wind power at Rs 2.84 for 25 years.

The power will be provided to the two discoms from 2020-21 at the price of Rs 2.84 including the trading margin. The two discoms will procure capacity from SECI which will act as an intermediary procurer, a company statement said.

“Renewable energy is critical for sustainable growth and BSES is alive to it while ensuring there is minimal burden on the consumers. This allocation of wind power is once again a testament to our efforts,” a BSES spokesperson said.

The latest agreement takes the total quantum of the two discom’s wind capacity to 600 MW.

Out of the existing agreement, 50 MW has already been provided from October 2018 and additional 50 MW is expected to be provided from the next couple of months. Remainder of the capacity will be provided to the discoms around November 2019.

The company has stated that the latest agreement is among the lowest tariff seen in wind power projects and is considerably lower than than the average cost of long-term PPAs at around Rs 4.5 per unit.

The agreement with SECI will increase discom’s share of renewable energy to 23% of the total capacity and will also help in fulfilling their Renewable Purchase Obligations (RPOs).