Monthly RE update- October 2019
Details of new tenders issued in October 2019
Source: JMK Research
New RFS issued
|Tender name||Technology||Ceiling tariff (INR/ kWh)||Other details||Last date of bid submission|
|SECI, 400 MW, s “Round-the-Clock” Supply of RE Power to NDMC||Solar, Wind, Hybrid with storage||–||EMD: INR 3 million/ MW PBG: INR 6 million/ MW||3 December 2019|
|NTPC, 90 MW, BOS package, Anta Solar Park, Rajasthan||BOS package for Solar plant||–||EMD: INR 200 million||21 November 2019|
|NTPC, Pan India, 1,000 MW under DBDT scheme||Solar||–||EMD: Up to 50 MW- INR 20 million, 60 MW to 110 MW- INR 50 million, 120MW to 220MW- INR 100 million, 230MW to 300 MW-INR 200 million||18 November 2019|
|SECI, Pan India, 7 GW, 2 GW- manufacturing (capacity increased for earlier issued tender)||Solar project development+ Manufacturing||2.93||PBG 1: INR 110 million |
PBG 2: 0.5 million/ MW
|31 October 2019|
|CEL, procure multi-crystalline solar cells||Solar cells||–||Solar cell minimum efficiency: 18.8% EMD: Nil||21 October 2019|
|HPPC, Haryana, 300 MW, power procurement short-term open access||Solar||–||EMD: INR 30,000/ MW||15 October 2019|
|UHBVN, Haryana, 100 MW, renewable with storage, power procurement||Wind/solar/ small hydro with storage||–||EMD: INR 1 million/ MW PBG: INR 2 million/ MW||13 November 2019|
|APGCL, 25 MW solar, Namrup Thermal Station||Solar||–||EMD: INR 20 million |
PBG: 10% of the EPC contract
|2 December 2019|
|HPGCL, 20 MW, solar||Solar||–||EMD: INR 20 million |
PBG: 10% of EPC contract
|26 November 2019|
|REIL, Rajasthan, 50 MW, Rooftop solar, RESCO||Rooftop solar||4.65 (general states) 5.10 (special category states)||EMD: INR 0.96 million/ MW||2 November 2019|
|REMCL, 32.56 MW, EPC, Pan India||Solar rooftop||–||EMD: INR 1.2 million||9 December 2019|
|PSPCL, Punjab, 30 MW, rooftop solar, CAPEX||Rooftop solar||–||EMD: INR 50,000||14 November 2019|
|Bank of Baroda, 2.9 MW, Pan India, OPEX||Rooftop solar||–||EMD: INR 1 million||22 October 2019|
|IIT Delhi, 15 kWp, Odisha, Solar PV Hybrid system, battery storage – 180 kWh||Solar PV hybrid system||–||EMD: Nil||30 October 2019|
|AAI, 7.5 MW, power procurement solar, Raipur, Coimbatore, Amritsar and Aurangabad Airports||Power procurement through solar||–||EMD: INR 0.5 million||18 November 2019|
|TSCL, Karnataka, 1.86 MW, Rooftop solar, RESCO||Rooftop solar||3.07||EMD: INR 0.8 million||13 November 2019|
|Assam, 940 kW, rooftop solar and off-grid floating solar||Rooftop solar and off-grid floating solar||–||EMD: INR 1.5 million||13 November 2019|
|Hyderabad Police Academy, 1 MW, rooftop solar, RESCO||Rooftop solar||5.59||EMD: INR 60,000||8 November 2019|
EMD- Earnest Money Deposit, PBG- Performance Bank Guarantee
Source: JMK Research
|Tender name||Status||Capacity tendered (MW)||Capacity allocated (MW)||Bidders/ winners details|
|NTPC, 1.2 GW, Solar, ISTS, Pan India||Projects allotted||1,200||300||TBEA (300 MW at INR 2.63/ unit)|
|EESL, 100 MW, solar EPC, Maharashtra, Andhra Pradesh and Jharkhand||Projects allotted||100||80||Hild Energy (40 MW) |
TATA Power (40 MW)
|SECI, 1.2 GW, Solar, ISTS-VI, Pan India||Bids submitted||1,200||1,200||ReNew (300 MW) |
UPC Renewables (300 MW)
Avaada Energy (300 MW)
Tata Power (300 MW)
Source: JMK Research
In September 2019, about 393 MW of new solar capacity and 180 MW of new wind capacity is added.
State-wise installations in solar and wind during September 2019 – 573 MW
Source: MNRE, JMK research
List of projects commissioned
|Project developer name||Technology||Capacity (MW)||Tender name||State||Date of commissioning|
|Carbonaire Industries Pvt Ltd||Solar||2||Captive||Tamil Nadu||September 2019|
|Muthur Murugan Mills||Solar||2||Captive||Tamil Nadu||September 2019|
|Mahalakshmi Dairy Private Limited||Solar||2||Captive||Tamil Nadu||September 2019|
|Top Light Renewable Energy Private Limited||Solar||6||Captive||Tamil Nadu||September 2019|
|Selvam Process||Solar||1||Captive||Tamil Nadu||September 2019|
|AMG Clean Energy Private Limited||Solar||4.125||Captive||Tamil Nadu||September 2019|
|Parvathi Angalamman Mills Private Limited||Solar||1||Captive||Tamil Nadu||September 2019|
|Kasim Textile Mills Private Limited||Solar||3||Captive||Tamil Nadu||September 2019|
|Selvi Spinning Mill||Solar||1||Captive||Tamil Nadu||September 2019|
|Periyanayakki Cotton Mill||Solar||1||Captive||Tamil Nadu||September 2019|
|SunAlpha Energy||Solar||1.2||–||Rajasthan||October 2019|
|Adani Green Energy||Wind||50||SECI, 1,000 MW, Pan India, Wind I, Feb-2017||Gujarat||October 2019|
|Aditya Birla Group||Solar||24||No tender||Odisha||October 2019|
|ReNew Power||Solar||250||MSEDCL Maharashtra 1,000 MW, Jun-2018||Rajasthan||October 2019|
|ReNew Power||Solar||3||No tender||Rajasthan||October 2019|
|ReNew Power||Wind||64||SECI, Pan India, 1,000 MW, Tranche 2, Oct 2017||Gujarat||October 2019|
Source: JMK Research
|Date||Company name||Deal type||Sector||Acquirer/ Investor||Deal value||Stake acquired|
|2 October 2019||Orb Energy||M&A||Solar||Shell||NA||20%|
|3 October 2019||Adani Green Energy||Green Bonds||Solar||NA||$362.5 million||NA|
|15 October 2019||SunEdison||M&A||Solar||Avyan Renewable||NA||31%|
Source: JMK Research
Other key announcements
Masdar Clean Energy, wholly owned by the Abu Dhabi government’s Mubadala Investment Company, is seeking to acquire a minority stake in the Munjal family-led Hero Group’s clean energy arm. Masdar, also known as Abu Dhabi Future Energy Company, plans to subscribe to equity shares in Hero Future Energies Global Ltd (HFE UK) and non-voting compulsorily convertible preference shares in Hero Future Energies Pvt. Ltd (HFE India), according to a filing made to the Competition Commission of India.
Attracted by India’s green energy trajectory, LGT Lightstone Aspada plans to invest up to $50 million in Canadian firm AMP Solar Group’s India unit to acquire a minority stake.
ReNew Power, which until recently was a major acquirer of renewable assets in India, has put 300 MW of solar assets on sale as the company tries to cope with rising uncertainty in the industry.
Monthly export-import statistics
*Provisional data, final data not yet released by the government
Source: Ministry of Commerce, JMK research
Global Price Trends
Source: EnergyTrend, JMK Research
Policy and Regulations
Chhattisgarh issued regulations specifying the terms and conditions for grid interactive distributed RE sources. Some of its salient features are:
- A consumer can set up solar plant on its own location or on the premises of a third party owner under a contractual agreement.
- Under net metering arrangement, distribution licensee shall procure excess energy generated at lowest rooftop solar tariff discovered through competitive bidding in the last financial year.
- 100% banking of energy shall be permitted for all captive and open access consumers @2% banking charges.
The objective of issuing the guidelines is to provide a framework for procurement of electricity from wind solar hybrid power project through a transparent process of bidding including standardization of the process and defining of roles and responsibilities of various stakeholders. Key highlights include:
- The applicability of the guidelines for long term power procurement is from Wind-solar hybrid project of 5 MW and above at one site with minimum bid capacity of 25 MW for intrastate projects. For inter-state projects, individual size of 50 MW and above at one site with minimum bid capacity of 50 MW.
- To reduce the variability of output power from wind solar hybrid project, storage may be added to the hybrid project.
- The procurer is provided payment security to the generator through letter of credit, payment security fund and state government guarantees.
- Earnest Money Deposit to be fixed by the procurer not more than 2% and Performance Bank Guarantee (PBG) to be fixed at not more than 5% of the estimated capital cost for hybrid project.
- Financial closure shall be attained within 7 months from the date of execution of the PPA.
- On account of grid unavailability or in the eventuality of a back-down, Hybrid power generator should be compensated for the generation loss.
- Change in Law shall not include any change in (a) taxes on corporate income or any change in any withholding tax on income or dividends; and (b) Custom duty on imported equipment.
- Regulations applicable to all wind power generators having 10 MW and above capacity and solar power generators having 5 MW and above capacity. These are also applicable to power selling through open access outside the state having installed capacity of 1 MW and above.
- Its mandatory to appoint a common qualified coordinating agencies (QCAs) within two months from the date of issue of notice by the State Load Despatch Center (SLDC), else the concerned licensee will be asked to disconnect the defaulting generators.
- MPERC has asked QCA’s to submit payment security in the form of Bank Guarantee towards the settlement of Deviation settlement mechanism (DSM) charges. Payment security has to be provided for Solar at INR 10,000/MW and for Wind at INR 40,000/ MW.
- Intra-day revisions are to be restricted to 16 revisions in a day at an interval of 1.5 hrs (in line with CERC guidelines). Earlier, there was no restriction on the number of revisions.
- Solar Power Generator may be required either to aggregate the solar power purchased from different Solar Power Generators and sell it to the distribution licensee, or to enhance the credit profile. In this, the Intermediary Procurer shall enter into a PPA with the Solar Power Generator and also enter into a Power Sale Agreement (PSA) with the End Procurer. The trading margin, of Rs. 0.07/kWh, shall be payable by the end procurer to the intermediary procurer.
- In case of aggregation of power purchased from different Solar Power Generators, the intermediary procurer may sell the solar power to end procurer at the weighted average of tariffs discovered and finalised for different bids over a period of (1st January to 30th June) or (1st July to 31st December) of any year.
- The Intermediary Procurer shall provide payment security to the Solar Power Generator through LC (of amount not less than 1 month’s average billing) and Payment Security Fund (not less than 3 month’s average billing).
- Upon occurrence of a Non-Natural Force Majeure Event, the Generator have the right to terminate the PPA forthwith after the completion of the period of 180 days from the date of the Force Majeure Notice.
Net-metering under this regulation is allowed only for residential category. The cumulative capacity of all Renewable Energy Generating Systems under Net Metering Arrangements and/or Net Billing Arrangements connected to a particular Distribution Transformer/feeder of the Licensee shall be allowed up to 40% of its rated capacity.
The objectives of the policy are:
- To generate 21% power through renewable energy in the total energy mix by 2030.
- Target of setting up 3,000 MW of solar projects by 2030, which will include utility-scale, canal-top, rooftop, floating, and hybrid solar projects.
- To attain non-solar power generation capacity of 1,500 MW, the state would include biomass, biomass and bagasse co-generation, and small hydro.
- To develop 500 MW equivalent bio-fuels (CBG, Bio-Ethanol, Bio-Coal, BioPellets) projects based on biomass as main feedstock
- Other objectives include development of energy storage technology based Renewable energy projects, promoting development and usage of Electric Vehicles and Solar Charging Stations in the state
MNRE issued a notification clarifying that a solar PV cell shall be considered to be domestically manufactured only if the same has been manufactured in India, using undiffused silicon wafer (generally called ‘Black Wafer’), classifiable under Customs Tariff Head 3818. Further all steps / processes required for manufacturing solar PV cell from the undiffused silicon wafer have to be carried out in India. The same shall be used for solar PV cell manufacturing facility required to be set-up under SECI’s manufacturing linked-PPA initiative. If diffused silicon wafer (generally called ‘Blue Wafer’) is imported and the same is used as raw material for the manufacture of solar PV cells in India, such solar PV cells shall not qualify as domestically manufactured solar PV cells.