GSECL Seeks GERC Tariff Approval For 45 MW Bhavnagar Solar Plant

13 Apr 2026 CW Team

Gujarat State Electricity Corporation Limited (GSECL) has filed a petition before the Gujarat Electricity Regulatory Commission seeking tariff approval for a newly developed 45 Megawatt (MW) solar power project at Badeli in Bhavnagar district. The plant forms part of a state government programme to develop renewable energy on unused government land close to existing transmission infrastructure. The filing seeks a project-specific tariff that will set the sale price of electricity from the plant.

The project is part of a 2019 state scheme that uses wasteland near transmission lines to ease land acquisition and contain costs. Under the scheme, GSECL was tasked with developing around 2,500 MW of solar capacity and the state provides a 50 per cent capital subsidy to lower generation costs.

Premier Solar Powertech Pvt Ltd was selected as contractor and the plant was executed in two phases, achieving commercial commissioning by the end of April 2025. GSECL signed a power purchase agreement with Gujarat Urja Vikas Nigam Limited (GUVNL) in January 2026. Tariff approval is mandated under the Electricity Act 2003 and the PPA provides that GUVNL will procure power at a tariff to be determined by the commission for 25 years.

Initial cost was estimated at around Rs 269.92 crore, equal to Rs 2,699.2 mn after conversion, but total cost rose to approximately Rs 290.67 crore or Rs 2,906.7 mn after inclusion of supervision and pre-operative expenses. GSECL has sought approval of the final cost and asked the regulator to determine a tariff that reflects the subsidy, operation and maintenance costs, financial structure and return on equity. The petition is seen as part of the state effort to strengthen clean energy capacity through public sector solar projects.

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