CERC Clears Rs.2.60/kWh Tariff for SECI's Solar Projects
POWER & RENEWABLE ENERGY

CERC Clears Rs.2.60/kWh Tariff for SECI's Solar Projects

The Central Electricity Regulatory Commission (CERC) has given its stamp of approval for a tariff of ?2.60 (~$0.03) per kilowatt-hour (kWh) for a combined capacity of 600 megawatts (MW) from solar power projects spearheaded by the Solar Energy Corporation of India Limited (SECI). Additionally, the Commission has endorsed a trading margin of ?0.07 ($0.00084) per kWh.

SECI initiated proceedings under Section 63 of the Electricity Act, 2003, seeking the adoption of tariff for their 600 MW solar power projects, labeled as Tranche-XI, interconnected to the Inter-State Transmission System (ISTS) and selected through a competitive bidding process.

Respondents in the case included SAEL Industries, SAEL Solar MHP1, SAEL Solar MHP2, and Gujarat Urja Vikas Nigam (GUVNL).

SECI's petition also encompassed the approval of a trading margin of ?0.07 (~$0.0084) per kWh, a component that was mutually agreed upon by distribution companies (DISCOMs).

Highlighting the bidding process, SECI revealed that a tender was released on March 31, 2023, alongside a draft power purchase agreement (PPA) and power supply agreement (PSA) for selecting 2,000 MW ISTS-connected solar power projects under Tranche-XI. This led to the selection of six bidders for the entire capacity, with SAEL solar MHP1, SAEL solar MHP2, and GUVNL securing contracts for 600 MW each at ?2.60 (~$0.03)/kWh.

The slated commissioning date for these projects is June 30, 2025. To benefit from a 25-year waiver of ISTS charges, projects must declare commercial operation by this date.

The Commission, after thorough analysis, concluded that the tariff adoption was justified given the transparent and competitive nature of the bidding process, adhering to Ministry of Power guidelines. Consequently, the approved tariffs remain valid throughout the respective periods of the executed PPAs and PSAs.

GUVNL and SAEL Industries expressed no objections to the Commission?s decision.

This move by CERC sets a precedent for transparent bidding processes and tariff approvals in the renewable energy sector. Recently, the Commission's decision regarding the delay in adopting tariff orders by the Uttar Pradesh Power Corporation has highlighted the importance of timely regulatory actions in facilitating renewable energy projects.

The Central Electricity Regulatory Commission (CERC) has given its stamp of approval for a tariff of ?2.60 (~$0.03) per kilowatt-hour (kWh) for a combined capacity of 600 megawatts (MW) from solar power projects spearheaded by the Solar Energy Corporation of India Limited (SECI). Additionally, the Commission has endorsed a trading margin of ?0.07 ($0.00084) per kWh. SECI initiated proceedings under Section 63 of the Electricity Act, 2003, seeking the adoption of tariff for their 600 MW solar power projects, labeled as Tranche-XI, interconnected to the Inter-State Transmission System (ISTS) and selected through a competitive bidding process. Respondents in the case included SAEL Industries, SAEL Solar MHP1, SAEL Solar MHP2, and Gujarat Urja Vikas Nigam (GUVNL). SECI's petition also encompassed the approval of a trading margin of ?0.07 (~$0.0084) per kWh, a component that was mutually agreed upon by distribution companies (DISCOMs). Highlighting the bidding process, SECI revealed that a tender was released on March 31, 2023, alongside a draft power purchase agreement (PPA) and power supply agreement (PSA) for selecting 2,000 MW ISTS-connected solar power projects under Tranche-XI. This led to the selection of six bidders for the entire capacity, with SAEL solar MHP1, SAEL solar MHP2, and GUVNL securing contracts for 600 MW each at ?2.60 (~$0.03)/kWh. The slated commissioning date for these projects is June 30, 2025. To benefit from a 25-year waiver of ISTS charges, projects must declare commercial operation by this date. The Commission, after thorough analysis, concluded that the tariff adoption was justified given the transparent and competitive nature of the bidding process, adhering to Ministry of Power guidelines. Consequently, the approved tariffs remain valid throughout the respective periods of the executed PPAs and PSAs. GUVNL and SAEL Industries expressed no objections to the Commission?s decision. This move by CERC sets a precedent for transparent bidding processes and tariff approvals in the renewable energy sector. Recently, the Commission's decision regarding the delay in adopting tariff orders by the Uttar Pradesh Power Corporation has highlighted the importance of timely regulatory actions in facilitating renewable energy projects.

Next Story
Resources

Ajmera Realty launches tree drive on Environment Day

Ajmera Realty & Infra India marked World Environment Day with a large-scale tree plantation initiative—Plant-with-Purpose—across its projects in Mumbai and Bangalore. The drive was inaugurated at Ajmera Manhattan and Ajmera Greenfinity in Wadala, with senior company officials and residents in attendance. The campaign encourages residents to embrace eco-conscious, self-reliant lifestyles by growing useful plants and trees within their communities. Horticulture expert Devendra Bhekar guided residents on creating and maintaining green spaces. Ajmera Realty planted over 500 trees..

Next Story
Resources

Twaron®-reinforced tyre powers Brunel’s solar race car

Teijin Aramid’s Twaron® with circular content will debut in Bridgestone’s race tyres for the 2025 Bridgestone World Solar Challenge, supporting the Brunel Solar Team’s Nuna 13 car. This marks the first use of the recycled-content aramid in a high-performance race tyre. The Twaron®-reinforced belts help enhance durability, reduce rolling resistance, and maintain lightweight strength—critical for the 3,000-km solar race across Australia. Bridgestone combines this with ENLITENTM tech and other recycled inputs to maximise environmental and performance outcomes. Teijin Aramid, a..

Next Story
Building Material

Kamdhenu Paints launches new wood coating range

Kamdhenu Paints has launched a comprehensive premium wood coating range designed for both interior and exterior applications. The collection includes high-performance solutions like Kamwood 2K PU for a rich matt or high-gloss finish, Kamwood 1K PU for clarity and stain protection, and the Kamwood Melamyne system for a smooth, durable finish. Also featured are Kamwood Wood Stains, which enhance wood grains with vibrant colour, and NC Sanding Sealer for high-build grain filling. The range is supported by Kamwood Thinners for ease of application and optimal finish. Saurabh Agarwal, MD, ..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?