The Tamil Nadu Generation and Distribution Corporation (TANGEDCO) has tendered for 500 MW of grid-connected solar PV projects with an upper tariff ceiling of Rs3/kWh.
With a bid-submission deadline of December 27, the move marks TANGEDCO’s first tender after an almost year-long hiatus.
Recently, TANGEDCO had secured approval from the Tamil Nadu Electricity Regulation Commission (TNERC) to float a solar and wind power tender for this financial year.
TNERC has approved three successive 500 MW tenders for grid-connected solar. Bidders must offer a minimum 5 MW, and there is a maximum 50 MW per location, although a single bidder can compete for the entire 500 MW capacity of each tendering exercise.
Government held up tender
TANGEDCO will sign a 25-year power purchase agreement with successful bidders, who will have a year to commission projects.
The tender organizer had sought permission for solar/wind tenders in April but a decision was delayed because the federal government wanted to amend some of the guiding principles.
TANGEDCO cancelled a 500 MW solar tender issued in January 2017, after the resulting tariff was Rs4.40/kWh.
The state distribution company has also issued a tender for 500 MW of wind power projects in the state, with Rs2.65/kWh as the tariff ceiling. The bid-submission deadline is December 28.