NLC India issues tenders for Andaman storage project, $394 million in finance for 709 MW Tamil Nadu PV project


NLC India Ltd (NLCIL) has issued a fresh revised tender for its solar plus battery storage project, which was earlier scrapped in October 2017. The new tender is for the installation of 2×10 MW (AC) grid-connected solar PV power project integrated with an installed capacity of 8 MWh with the half-hour backup battery energy storage system (BESS).

Previously, the project had targeted 28 MWh capacity. The initial tender was awarded to the Indian EPC firm, Mahindra Susten. However, the project was scrapped due to undisclosed reasons.

The new issued storage project will be installed at Attam Pahad and Dolly Gunj, Port Blair, South Andaman District of Andaman & Nicobar Islands. The scope of work also includes operation and maintenance (O&M) of the entire system for 10 years after the one-year warranty period.

Bid submissions are due on March 27, 2018. The project should be completed within 18 months from the date of the letter of award (LOA).

India has several remote areas, unelectrified villages, and have two island states (Andaman & Nicobar Islands and Lakshadweep). BESS is the most sustainable and feasible solution to eradicate diesel usage for electricity production in such areas and expand electricity access.

Realizing the fact, India is planning an overarching national energy storage policy, which is expected to be rolled out in April 2018.

Funding 709 MW NLC solar project

NLCIL has also issued tender for INR 25.52 billion ($394 million) in finance required to construct the proposed 709 MW solar power project in Tamil Nadu state.

A government of India-owned coal mining company, NLCIL has identified 36 banks and financial institutions that can bid for providing Rupee Term Loan facility. Th minimum amount to be quoted is INR 2,500 million ($38.55 million).

According to the tender document, the loan agreement shall be executed within 10 days of sanction letter accepted by the borrower.

Bid submissions are due on March 14, 2018, at 10:30 am.

The proposed project is going to be installed at six different locations. No land is acquired thus far, however, NLCIL must declare by April 23, 2018. The project should be completed within 15 months from the date of LOA, i.e., January 28.

The project is estimated at INR 30,393 million ($467 million).

Apart from that, the company has commissioned 140 MW solar in Neyveli, and additional 500 MW is under construction in Tamil Nadu.

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