The Tamil Nadu Green Energy Corporation Limited (TNGECL) has issued a 40 MW rooftop solar tender under the Renewable Energy Service Company (RESCO) mode, as part of the PM Surya Ghar: Muft Bijli Yojana initiative. The tender seeks bids from developers to set up rooftop solar photovoltaic (PV) projects on government buildings, aligning with Tamil Nadu’s goal of accelerating solar energy adoption across the state. Bids will be accepted until 27 October 2025.

Under the scope of work, TNGECL will identify suitable government buildings across four districts — Chennai, Chengalpattu, Kanchipuram, and Tiruvallur — for installation. Once bidding concludes, the government will share a detailed list of the shortlisted buildings with the successful developers.

The rooftop projects will be installed on spaces ranging between 2,000 and 10,000 square feet, with developers required to submit a single bid offering a minimum of 10 MW and a maximum of 20 MW, representing 50 per cent of the total capacity.

Developers operating under the RESCO model are expected to maintain an average Capacity Utilisation Factor (CUF) of 17 per cent for each operational year. Bidders must also submit bid security in the form of a bank guarantee valid for 12 months from the tender opening date.

Tamil Nadu currently ranks among India’s top five states for installed rooftop solar capacity, with an estimated 599 MW in operation. To further promote adoption, the state government is offering subsidies of Rs 30,000 for systems between 1 kW and 3 kW, and Rs 78,000 for systems above 3 kW.

Through this initiative, TANGEDCO — Tamil Nadu’s power distribution utility — is targeting 54,000 rooftop solar applications in the Coimbatore metro circle. Despite being one of the top three loss-making discoms in the country, TANGEDCO aims to strengthen financial stability by increasing renewable energy generation and reducing dependence on grid power.

The new tender marks an important step in Tamil Nadu’s ongoing efforts to expand decentralised renewable power, promote green energy adoption, and support India’s national clean energy transition goals.