Kerala Invites Bids for Wind Energy Projects Worth 65 MW

For the development of 65 MW of wind power projects, the Kerala State Electricity Board (KSEBL) has invited bids for the selection of developers under tariff-based competitive bidding. The last day for the submission of bids is June 20, 2022 and the tendered bids will be opened on June 23.

As per the notification by the KSEBL, a minimum capacity of 2 MW and a maximum capacity of 65 MW can be tendered by the respective developers quoting a single fixed tariff and the contract will be signed for a period of 25 years. The green energy procured under the said agreement will be considered towards the renewable purchase obligation of the state electricity board.

The bidding developers are required to pay a non-refundable bid submission fee of Rs 29,500. The earnest money deposit will be Rs 200,000 for projects that will be from 2 MW to 10 MW, Rs 300,000 for projects above 10 MW and up to 50 MW, and Rs 500,000 for projects over 50 MW and up to 65 MW. Bidders who are successful are required to pay Rs100,000  for every MW as success charges.

The net worth certificate for a minimum of Rs 1.2 crore/MW should be furnished by the bidders. They should also have a minimum annual turnover of 6 million/MW of the quoted capacity. This will be calculated for any three years out of the last five years.

The tender also says that the wind power projects shall achieve financial closure within seven months from the date when the power purchase agreement comes into force. It also holds that only the Revised List of Models and Manufactures (RLMM) listed turbines by the Ministry of New and Renewable Energy (MNRE) shall be used in the wind energy projects.

Project Location and Approvals

The KSEBL notification also mentions that the wind energy projects are to be located at the areas chosen by the developers at their discretion of cost, risk, and responsibility. They will also have to obtain wind potential assessment and technical approval from the Agency for Non-Conventional Energy and Rural Technology (ANERT). As far as technical approval is concerned, the developers will have to obtain it before issuing the Letter of Award (LoA). The tender says that the entire project capacity proposed by a developer will have to be constructed at a single location. A developer is also free to configure the project as being sub-divided into several ‘blocks,’ being set up at multiple locations. The tender lays down the time for  scheduled commissioning of  full capacity at 18 months, calculated from the effective date of the PPA.

The wind generation capacity of Kerala, according to an estimate, is presently more than 70 MW. The KSEB decided recently that it will modernize the wind farms at Kanjikode in Palakkad district and also scale up wind power generation capacity. According to MNRE, the total installed capacity of wind energy in India stood at 39.25 GW on 31st March, 2021.