MNRE modifies power procurement guidelines from hybrid projects

23 Mar 2022 CW Team

The Ministry of New and Renewable Energy (MNRE) has revised the guidelines for a tariff-based competitive bidding procedure for power procurement from grid-connected solar-wind hybrid projects.

The guideline has been revised to include intermediary procurer as an alternative term for the procurer.The last version read the term procurer as distribution licensee or their authorised representative.

According to the new guidelines, during the bidding procedure, in cases where the distribution licensee approves a separate agency to conduct the tendering or bidding procedure on its behalf, then the authorised agency would be accountable for fulfilling all the obligations imposed on the procurer.

The scheduled commissioning date (SCD) for the hybrid projects has been shifted to 24 months from the execution date of the power purchase agreement (PPA) or Power Sale Agreement (PSA), whichever is later.

The extension of the project is seen as a relief by some industry players for hybrid project developers who are having trouble finding wind turbines and are seeing costs rise. Others point to the rise in interest during construction (IDC) as a result of the projects' six-month delay in commissioning.

The increase in IDC might have an impact on project expenses, which, if not covered by the developers, could be added to the output tariff.To put up hybrid projects, unlike pure solar or wind projects, developers must find a place with maximum irradiation and wind currents in the same region. The project's timetable extension might give developers more time to choose the best site for hybrid projects.

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Also read: India adds a record 1.7 GW of rooftop solar in CY 2021

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