NTPC REL Bags UPPCL’s 1 GW Solar Project At Rs. 2.56/kWh

NTPC Renewable Energy Limited (NTPC REL), an NTPC Limited subsidiary, emerged as the successful bidder in the Uttar Pradesh Power Corporation Limited (UPPCL’s) e-reverse auction. Out of the initial tender to select solar power developers for 2000 MW ISTS-connected solar PV power projects, NTPC REL secured a 1,000 MW capacity at a tariff rate of Rs. 2.56/kWh. The company said in a regulatory filing that the Letter of Award (LOA) from UPPCL is awaited.

Previous Tender: A Brief Comparison

The UPPCL’s latest tender tariff was slightly higher than NTPC’s recent 1.2 GW solar tender. In its recent tender released by NTPC, the lowest tariff discovered for the vanilla solar tender was Rs.2.55/unit tariff. NTPC had announced six winners for its 1.2 GW solar project tender with a greenshoe option. The winners included Bharat Petroleum Corporation Limited (BPCL), Onward Solar Power, ReNew Solar Power, Illuminate Hybren, Adyant Enersol, and Dinesh Chandra R. Aggarwal. Collectively, these projects amount to 1,020 MW, with an additional greenshoe option of 600 MW. According to the tender results, 916 MW was awarded.

Another winner was Onward Solar Power, which received 50 MW at a Rs. 2.59/unit tariff. ReNew Solar Power, Illuminate Hybren (a Mumbai-based subsidiary of Mahindra Susten), and Adyant Enersol Pvt Ltd (a subsidiary of Datta Infra) secured 300 MW, 120 MW, and 100 MW, respectively, at Rs. 2.60/unit. Meanwhile, Dinesh Chandra R. Aggarwal Infracon got a 96 MW project at a quoted tariff of Rs. 2.70/unit.

Similar solar tariffs

Coincidentally, the UPPCL tender result matched the price offered by GUVNL for its 500 MW solar project. GUVNL awarded the project to seven winners for its 500 MW grid-connected solar power projects. The project came with an additional 500 MW under the greenshoe option.

Under its Phase XXV auction, it allocated bids to S.B.B. Mouldings, Kintech Synergy, Enertech Fuel Solutions, Prozeal Green Energy, Ausom Enterprise, Drashta Green Power, and SAEL Industries. The tender for this project was released in August this year, and the result was declared within four months. As expected, the final price has remained sticky, staying above Rs. 2.55/unit with the full impact of ALMM and DCR conditions to fulfill.