GAIL Starts On Solar Plans With Call For Empanelment

Gas Authority of India Limited (GAIL), of of the last major energy PSU’s to have announced major plans for solar power, has finally begun acting on those plans in earnest. The firm has issued a notice for empanelment of solar engineering, procurement, and construction (EPC) contractors and operation and maintenance (O&M) service providers for its planned solar projects. the move comes even as the MNRE has empowered key energy PSU’s with more freedom when it comes to decision making on solar and renewable energy plans.

The last date to submit bids is October 5, 2021.

GAIL has a stated ambition to have a 1 GW renewable energy portfolio by 2025 or earlier. It envisages an investment of Rs 5000 crores towards those plans, besides other plans to build CBG (Compressed Bio Gas and Ethanol Plants too).

This is a limited empanelment move, with successful bidders to be empaneled for only 3 years to start with.

Empanelment has been classified into two separate categories, following the established PSU template by now.

Category A, of 100 to 200 MW (AC), and Category B for plants higher than 200 MW and upto 300 MW.

‘Category A,’ bidders should have experience of building grid connected solar projects with a total installed capacity of 75 MW (AC) or above in the last seven years on a lump-sum turnkey or EPC basis. Of this, one project should be over 30 MW (AC) capacity at a single location and must be operational for at least six months. In addition, bidders must have completed O&M of at least one grid-connected solar project with over 10 MW (AC) capacity for at least one year in the last seven years.

The bidders should also have a minimum annual turnover of Rs 300 crores in any of the previous three financial years coupled with a minimum working capital of Rs 60 crores

Similarly, Category B bidders should have commissioned at least 125 MW (AC) of grid-connected solar projects in the last seven years on a lump-sum turnkey or EPC basis. Of this, one project should be over 50 MW (AC) capacity at a single location and must be operational for at least six months. Annual turnover requirements are at Rs 500 crore and minimum working capital of Rs 100 crores.