Central Commission Approves Tariff for SECI’s 900 MW Solar Projects

05 Feb 2025 CW Team

The Central Electricity Regulatory Commission (CERC) has approved the Solar Energy Corporation of India’s (SECI) petition to adopt a tariff of Rs 2.6 (~$0.03)/kWh for 900 MW interstate transmission system (ISTS)-connected solar power projects (Tranche- XI). The petitioner, SECI, had invited bids to select developers for 2,000 MW ISTS-connected solar projects. Ten bids were shortlisted for the e-reverse auction. After the auction, six bidders offering a capacity of 2,000 MW were selected and issued a letter of award. CERC had adopted 600 MW and 500 MW tariffs last year in two different orders. The Commission had allowed SECI to approach it for adopting a tariff for the balance capacity of 900 MW. The petitioner approached the Commission seeking tariff adoption for individual power projects with a balance capacity of 900 MW after tying up only 300 MW capacity under the power purchase agreements (PPA). CERC observed that SECI selected the successful bidders and discovered the project tariff through a transparent and competitive bidding process, following established guidelines. In the past, the Commission ruled on tariff adoption only to the extent of the awarded capacity tied up under the PPAs and PSAs. In the current case, the Commission noted the recent emphasis on expeditious tariff adoption. It adopted the Rs 2.6 (~$0.03)/kWh tariff for the balance 600 MW capacity without waiting for the tie-up of the complete capacity. It also directed limiting the trading margin to Rs 0.02 (~$0.00023)/kWh if SECI does not provide an escrow arrangement or irrevocable, unconditional, and revolving letter of credit to the solar generators.

Infrastructure Transport

10 Feb 2026

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