India’s NTPC Limited held an auction to develop 3,000 MW firm and dispatchable renewable power (FDRE) from inter-state transmission system (ISTS) connected projects. The tender for the project was issued in October 2023. Of the total tendered capacity, only 1,584 MW was auctioned. The projects can be set up anywhere in India.
ABC Cleantech (Axis Energy) and ACME Cleantech Solutions have won 300 MW and 54 MW by quoting Rs 4.64 per kWh and Rs 4.73 per kWh, respectively. Other companies have won the following capacities: Juniper Green Energy – 200 MW and Hero Solar Energy (Hero Future Energies) – 120 MW by quoting a tariff of Rs 4.69 per kWh. While, Serentica Renewables India 11 and Tata Power Renewable Energy have each won 200 MW by quoting Rs 4.71 per kWh. Meanwhile, BN Dispatchable-1 (BrightNight Power) – 110 MW and ReNew Solar Power – 400 MW won respective capacities by quoting a tariff of Rs 4.72 per kWh.
Prior to this, the Solar Energy Corporation of India held a similar auction for 1,500 MW of FDRE in which Rs 5.59 per kWh was the lowest discovered tariff. Last month, NHPC Limited conducted another auction for 1,500 of FDRE in which Rs 4.55 per kWh was the lowest discovered tariff.
REGlobal’s Views: India has been witnessing increasing demand for hybrid renewables rather than standalone solar or wind power from both utilities as well as corporates and industries. Hybrid renewables offer better grid stability and load management possibilities when compared to standalone intermittent solar or wind. Further, as renewables become increasingly cost-competitive, there is a surge in renewables based round-the-clock power supply arrangements, and these are being supplemented with pumped storage and battery storage systems. Meanwhile, government agencies are also now slowly moving towards these novel auctioning processes to create a competitive market for such solutions.
