Torrent Power Issues RfS for Procurement of 300 MW Solar Power

Torrent Power has issued an RfS for the purchase of 300 MW power from grid-connected solar PV power projects in the state of Gujarat.

Gujarat-based electricity generation, transmission and distribution company, Torrent Power (TPL) has issued a Request for Selection (RfS) for the purchase of 300 MW power through competitive bidding process followed from grid-connected solar PV power projects in Gujarat.

The last date for bid submission is September 4, 2019, and the techno-commercial bids will be opened on September 5, 2019. A pre-bid meeting has been scheduled for August 21, 2019, to address the concerns raised by prospective bidders. The financial/price bids will be opened on September 12, 2019.

All bidders will have to submit a bid processing fee of Rs 3 lakh and an Earnest Money Deposit of Rs 10 lakh/MW along with their response to the RfS.

The firm which currently operates in Gujarat, Maharashtra and Uttar Pradesh has revealed that the tender has been issued to help the company meet its Renewable Purchase Obligation (RPO) for the  Ahmedabad, Gandhinagar, Surat, Dahej SEZ and Dholera SIR licensee area.

As per the RfS, TPL will enter into a Power Purchase Agreement (PPA) with the successful bidder for a period of 25 years from the scheduled commercial operation date (COD). The maximum tariff payable to selected Bidder shall be fixed for 25 years from the SCOD of the project, as discovered through the e-bidding and e-reverse auction conducted vide this RfS.

The Bidders will be free to avail fiscal incentives like Accelerated Depreciation, Concessional Customs and Excise Duties, Tax Holidays, benefits from trading of carbon credits, etc. as available for such projects.

The selection of the grid-connected solar PV projects for a total capacity of up to 300 MW will be carried out through e-bidding followed by the e-reverse auction process. The minimum capacity of the project that can be awarded to bidders will be 50 MW. Whereas, the maximum capacity that can be allocated to one bidder shall be 150 MW.

To be eligible, the net-worth of the bidders for the financial year ended on March 31, 2019, should not be less than Rs 1.5 crore per MW of the capacity quoted. And, the annual turnover in the same period should not be less than Rs 2 crore per MW of bid capacity.

The company had earlier issued a similar tender in January this year for procurement of 300 MW solar power to meet its RPO obligations.

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