India witnessed a remarkable low Wind Solar Hybrid tariff of Rs 2.34/kWh
Solar Energy Corporation of India (SECI) had conducted an e-reverse auction last week for its 1200 MW Wind Solar Hybrid Tranche IV tender. The tender was issued in April this year and had received an overwhelming response with total bids submitted for 5,980 MW capacity.
The tender specifies project commissioning timeline of 18 months from the date of PPA execution and a minimum CUF requirement of 30%. The document also states that either of the two components (solar or wind) must have a rated installed project capacity of at least 33% of the contracted capacity.
It can be seen from the figure 1 below that the tender witnessed the lowest-ever tariff among all the Wind Solar Hybrid auctions concluded so far. Bidders have been advised to take into account the imposition of Basic Customs Duty on solar cells and modules for this tender. Despite this, the tender had received aggressive bids . However, it will be interesting to see if new technological advancements such as the use of bifacial modules with trackers and/or the developers who have access to low cost capital can further drive the tariffs down.
Figure 1: Details of Auctioned Wind Solar Hybrid tenders in India

Source: JMK Research
NTPC, Neyveli Lignite Corporation (NLC) and Ayana Renewables have emerged as the L1 bidders by grabbing 450 MW, 150 MW and 450 MW capacity respectively at the tariff of Rs 2.34/kWh. This is 11% lesser than that discovered in the previous auction (Rs 2.62/kWh) which was concluded in July 2021 as part of MSEDCL 500 MW Wind Solar Hybrid tender. The difference in tariffs of SECI and MSEDCL auctions is due to the fact that developers see considerably lower risk in the central government intermediary i.e. SECI as against state government entities such as MSEDCL, with respect to assurance of power sale and payments.
Azure Power had quoted 300 MW capacity at Rs 2.35/kWh (L2) but was able to secure 150 MW only under the bucket filling method. The company also bagged 200 MW at Rs 2.62/kWh tariff under MSEDCL 500 MW Wind Solar Hybrid tender concluded in July 2021.
Other contenders who participated in the SECI 1200 MW Wind Solar Hybrid Tranche IV auction are Hero Solar, Evergreen Renewable, Avaada, Torrent Power, Green Infra, Power Mech Projects, Enel, Renew Power, Adani Renewable Energy, AMP Energy, O2 Power, Tata Power, Acme Solar and ABC Renewable.
Figure 2: SECI 1200 MW Wind Solar Hybrid Tranche IV Pan India Tender Auction Result

Source: JMK Research