Sustainable power: RUVITL's dual strategy of coal and solar projects

08 May 2024 CW Team

Rajasthan Urja Vikas and IT Services (RUVITL) has initiated a bidding process to acquire 3,200 MW of coal-fired electricity and 8,000 MW of solar power. This move is aimed at addressing the growing electricity demand in the state. The guidelines set forth by the Ministry of Power and the Central Electricity Authority emphasise the necessity of having adequate capacity to meet anticipated consumer demand without needing to resort to load shedding. To overcome issues with ageing power stations and coal supply, RUVITL secured a 3,299 MW coal linkage under the SHAKTI Policy guidelines by the Ministry of Coal. This supports coal allocation for new power purchase agreements (PPAs). The project, developed under a design, build, finance, own, and operate model, can be situated anywhere in Rajasthan. The developer will also establish a dedicated transmission line to connect with the state grid. Simultaneously, RUVITL intends to acquire 8,000 MW of solar capacity to meet renewable purchase obligations set by the Ministry of Power. These obligations mandate a substantial rise in renewable energy procurement by 2029?2030.

The bidding process will involve a single tender, with participants required to offer both solar and coal-based capacities. Separate power purchase agreements for solar and coal power will be executed after an e-reverse auction determines competitive tariffs.

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