Projects and Tenders

Saatvik Green Energy Wins BHEL’s 141.76 MW Solar Modules Order

NTPC Tenders For 500 MW of Solar EPC Projects

Indian module manufacturers, Saatvik Green Energy Pvt. Ltd. has won a 141.76 MW Solar modules tender from Bharat Heavy Electricals Limited (BHEL). BHEL floated the tender for their 100 MWac Gujarat State Electricity Corporation Ltd (GSECL) Raghanesda Ultra Mega solar park in Gujarat.

Saatvik Green Energy secured the bid in a reverse bidding auction while competing with other solar majors like Vikram Solar, Waaree, Goldi, and Emmvee Solar. These solar modules are to be supplied by December 2021. Speaking on their win, CEO of Saatvik Green Energy, Mr. Prashant Mathur said, “We are very pleased to secure the BHEL order and it motivates us to continue focusing on delivering the best to our customers. We believe that our superior technology and high-class quality modules paved the way to securing this prestigious order and we look forward to associating with BHEL.”

Saatvik Green Energy Limited claims to possess a capacity of 500 MW per annum as of date. It engages the technologies such as Lead automation from Jinchen, the company offers a wide range of solar PV modules inclusive of Polycrystalline, monocrystalline, glass-glass, and bifacial modules. The module maker has also plans for an additional 300 MW capacity to be added by August 2021. Saatvik’s manufacturing facility is located at Ambala, in the state of Haryana.

BHEL is an Indian government-owned engineering and manufacturing enterprise based in New Delhi, India. It is under the ownership of the Ministry of Heavy Industries and Public Enterprises, Government of India.

Recently this month, BHEL floated a tender for the supply and commissioning support of Solar Compact Station (SCS) for an 8 MWac solar PV farm at Tamarind Falls, Henrietta, Mauritius.

Before that in May 2021, the engineering and manufacturing PSU invited bids under a two-part bid system from manufacturers/suppliers of Monocrystalline Silicon PV Modules for purpose of pre-bid tie-up for participating in the 500 MW Rewa Ultra Mega Solar Limited (RUMSL) Solar Park tender at Neemuch in Madhya Pradesh.

Close on the heels of announcing an aggressive reset of its renewable energy targets, state owned NTPC Limited has invited bids for an engineering, procurement, and construction (EPC) package with land development for 500 MW of grid-connected solar projects anywhere in India.

The tender, floated on Friday last week (July 2) has a last date for final bids of August 10, 2021. The pre-bid meeting will be held on July 27, 2021.

These bids come with the proviso of successful bidders also doing the operation and maintenance activities of the solar project for three years after completion of the trial runs. The projects will be pretty much completely outsourced, with the scope of work including design, manufacturing, supply, packing, forwarding, transportation, unloading, storage, installation, and commissioning of the projects.

The minimum bid capacity is 50 MW, with the maximum set at 500 MW. Or in multiples of 10 from 50 MW onwards.

In qualification criteria for bidders, they should have designed, supplied, erected, and commissioned as an EPC contractor or developed gridconnected solar projects of cumulative installed capacity of 40 MW or higher, out of which one power should have been of 10 MW or higher capacity.

For projects in 50 MW to 300 MW capacity, the bidder should have executed in the last ten years an industrial project either as a developer or an EPC contractor in the area of power, steel, oil, and gas, petrochemical, fertilizer, cement, coal mining, or any other process industry for a value of Rs 258 crores or more. For projects in the 310 MW to 500 MW capacity, the bidder should have executed a project for a value of Rs 516 crores or more.

The project should have been in successful operation for at least one year before the bid opening date.

Also, the bidder should have executed at least one electrical substation of 33 kV or above voltage level, consisting of equipment such as 33kV or above voltage level circuit breakers and power transformers, either as a developer or as an EPC contractor, which should have been in successful operation for at least one year before the bid opening date.

The land identified for the solar project will be transferred or leased in the name of NTPC or the subsidiary company.

Only open category solar cells and modules have been allowed.

The EPC contractor will be responsible for developing ground-mounted solar projects and a power evacuation.

Tirupati to Adopt Energy-efficient Practices, Installing 2 MW Rooftop Solar

The nation’s richest temple trust, which manages the Tirumala Venkateswara Temple in Andhra Pradesh, has taken more steps to go green. The Tirumala Tirupati Devasthanams (TTD) is going green with efficient energy practices along with a water management system.

The Bureau of Energy Efficiency (BEE) has given acquiescence to AP State Energy Conservation Mission (APSECM) for providing technical and financial support for conducting large-scale Investment Grade Energy Audit (IGEA) in TTD and its allied temples and choultries.

TTD is planning to install a 2 MW rooftop solar system across all colleges/schools in Tirupati and TTD buildings in Tirumala.

Interestingly, out of total energy consumption of 68 MU per annum in TTD, around 30 percent of the consumption is being met from solar and wind power generation. As TTD already has a windmill power plant with a capacity of 7.5 MW, capable of generating 1 crore units with savings of Rs 5 crore per year and 10 MW solar power plant having the capacity to generate 1.45 crore units per annum with savings of Rs 3 crore per annum.

Not only TTD but many religiously important places have been adopting solar energy for their energy consumption. In December last year, the Uttar Pradesh energy minister Shrikant Sharma announced that places of religious importance in the state will be powered by solar energy by 2024. Among the cities cited by him were Ayodhya, Mathura, Varanasi, Prayagraj, and Gorakhpur.

Rooftop solar would be the preferred medium to achieve the target of 670 MW, powered by central subsidies of Rs 859 crores and state subsidies of Rs 473 crores. The state has a total target of 10,700 MW by 2022.

Before that in past years, Telangana announced to have many places of worship to go solar in the state. The Chief Minister of the state had asked the officials concerned to check the feasibility of installing rooftop solar systems at religious institutions.

Other religious institutions like the Brahmakumaris have also gone with renewable energy in a big way, with over 2 MW of solar plants installed at their centre in Mount Abu, Rajasthan.

Solar power makes eminent sense for religious institutions, especially unaided institutions, as it takes one cost, power, out of the regular costs equation. Devotees should consider organising themselves to donate or support such efforts. Even the economic case for solar is strong enough to make solarisation a pretty secular move for religions of all faiths in India. Be it Gurudwaras, Churches, or Masjids and Temples.

Siemens Gamesa to Supply Turbines for 301 MW Wind Farm in Karnataka

Spain-based renewable energy company Siemens Gamesa has been awarded a firm order to supply wind turbines for a wind farm located in Hombal, in the state of Karnataka, India, with a total capacity of 301 MW.

The company has received the project through one of its subsidiaries, and the order comprises the supply of 87 wind turbines of the SG 3.4-145 model, whose setup is scheduled for March 2023. According to the turbine maker’s brief bourse filing, the order was placed by a customer who asked not to be identified.

Siemens Gamesa has made many notable announcements since the beginning of this year, such as securing its largest order to date in Vietnam for a 117 MW wind farm; revealing that it will deliver 79 of its industry-leading Typhoon-class onshore wind turbines for Japan’s largest 339.7 MW wind farm cluster of four wind projects; securing a landmark deal to supply, install and commission 32 onshore turbines for the largest wind farm in the Philippines to date; bagging its largest offshore agreement in Taiwan to date, which now covers the Hai Long 2B (232 MW) and Hai Long 3 (512 MW) projects; etc.

Additionally, Siemens Gamesa and Spanish energy giant Repsol announced they have signed their first contract together that will see the installation of 24 SG 5.0-145 wind turbines across four wind farms in Spain, with a total installed capacity of 120 MW.

Recycling wind turbine components has become an important concern of late. At the Spanish Wind Energy Association (AEE)’s Annual Congress, held last month, Giles Dickson, CEO of WindEurope, and Juan Virgilio Márquez, General Director of AEE, called upon the European Commission to propose a Europe-wide ban on landfilling decommissioned wind turbine blades. The ban should enter into force by 2025 and also apply to other large composite components in the nacelles of modern wind turbines. With this call, the European wind industry actively committed to re-using, recycling, or recovering 100% of decommissioned blades.

Except Two, All Union Territories and Goa Fail to Meet RPO Targets FY21, Shows JERC’s Analysis

Except Chandigarh and Andaman & Nicobar Islands, all other union territories and Goa have failed to achieve their solar renewable purchase obligation (RPO) targets, shows the Joint Electricity Regulatory Commission (JERC)’s analysis of RPO targets for 202021 based on the data received from the regions under its jurisdiction.

The commission received data on RPO compliance for FY21 and plans to meet targets for FY22 from six union territories: Puducherry, Lakshadweep, Goa, Chandigarh, Daman & Diu, Andaman & Nicobar Islands, and Dadra & Nagar Haveli. Some of the commission’s findings regarding the states are given below:

GOA:

While the state achieved its non-solar RPO target for FY20, it was 66.94 MU short of attaining its solar RPO targets. It explained that it had established a long-term contract with Solar Energy Corporation of India (SECI) to supply 25 MW solar power and a medium-term agreement with NTPC Vidhyut Vyapar Nigam (NVVN) to supply 6 MW solar power. The state would fulfill short-term solar obligation through solar renewable energy certificates (RECs) and Green-Term Ahead Market.

The commission directed the state to achieve full compliance for solar and nonsolar RPO in FY 2021-22. However, due to the Covid-19 crisis and nationwide lockdown, the commissioning of these projects has been delayed.

PUDUCHERRY:

The union territory didn’t meet its solar and non-solar RPO targets for FY 2020-21 and had a backlog of 472.15 MU and 561.37 MU, respectively. The Puducherry Electricity Department submitted that it had signed power purchase agreements (PPAs) with SECI and NTPC for 490 MW. Of this, 250 MW is for solar RPO compliance and 240 MW against its non-solar RPO target. The department claimed that once all power projects would be operational, they would be able to generate around 1,000 MU per year that could help clear the total backlog of its solar and non-solar RPO.

The commission directed the union territory to expedite the process of purchasing actual power available and warned that appropriate legal action for non-compliance would be taken if the backlog is not cleared.

DAMAN & DIU:

It did not meet its solar and non-solar RPO target for FY 2020-21. Only 36.64 MU of its 311.85 MU solar RPO targets and 192.88 MU of its 436.93 MU non-solar RPO targets were met. The electricity department of Daman & Diu explained that RECs were not available since July 2020. As a result, the union territory was able to purchase only 192.88 MU of RECs for non-solar RPO compliance.

The commission directed the electricity department to procure physical renewable energy power in every quarter of 2021-22 to reduce the cumulative shortfall in FY 202122. The department was also asked to ensure total compliance of RPO target for FY 2021-22, including backlogs.

5MW Second Phase Solar Plant Commissioned by GMR Hyderabad Airport

GMR Hyderabad International Airport Ltd (GHIAL) said yesterday that it has commissioned the 5 MW second phase of its solar power plant, taking its total solar power capacity to 10MW.

The solar plant, set up for captive consumption, is spread over an area of 45 acres and comprises over 30 thousand solar panels that have been installed to generate 10 MW power.

The first phase of 5MW was commissioned in 2015. Following the commissioning of the additional capacity, the Hyderabad airport will be able to reduce its dependency on conventional power by 12 million units per year, resulting in savings of around Rs 90 lakh per month, according to GHIAL.

Both the solar plants are said to have advanced ABB central inverters and polycrystalline PV panels, which are far more efficient than mono crystalline solar PV panels.

Solar power generation will now not only supply nearly 50% of the total energy requirements of Hyderabad airport, it will also help reduce the carbon footprint by cutting emission of about 28 lakh kg carbon dioxide which is equivalent to saving 1.4 lakh full grown trees, says the company.

GHIAL CEO Pradeep Panicker was quoted as saying that the commissioning of the second phase was a major milestone and critical step in the right direction, and that as a member airport of the ACI (Airports Council International), the airport operator has committed to reach net zero carbon emissions by 2050.

The list of India’s greenfield airports continues to grow. Last year, the Airports Authority of India Limited invited bids to set up a 330 kWp grid-connected solar power system at the then recently commissioned Deoghar airport in Jharkhand state. Like most of its other airports, AAI proposed to have a solar rooftop, and a carport for the solar facilities.

Since then announcements have come from Kerala as well, where the Cochin International Airport Limited (CIAL) informed that it had successfully commissioned one of the biggest floating solar plants in the state — with 452 KWh capacity — to further aid the airport in becoming sustainable by using green energy generated by the plant. NTPC subsidiary NTPC Vidyut Vyapar Nigam Ltd (NVVN) also issued a tender, inviting builds from eligible bidders, for setting up a 2 MW solar PV power plant with net metering at the Agartala Airport in Tripura.

SECI Issues Tender for 100 MW Solar Plant in Chhattisgarh

The Solar Energy Corporation of India (SECI) on Friday (July 9) released a tender for the Design, Engineering, Supply, Construction, Erection, Testing & Commissioning of 100 MW (AC) Solar PV Project with Land having 15 years Plant O&M At Chhattisgarh. SECI had earlier issued a tender for land parcels in the state for 100 MW solar projects too, linked to another project.

Chhattisgarh is a coal powerhouse, with its many coal mines providing coal to thermal plants across the country. The state has also lagged behind on renewable energy uptake thanks to its naxal problem, leading to some of the lowest solar capacities in the country when considered by area. This 100 MW project, if successful, will be one of the largest solar plants in the state, even as a 250 MW solar plant for captive power was announced earlier by a private enterprise. The project also refers to the BCD regime expected to kick in from April 2022, and makes it clear that it will not be considered a change in aw event. Besides that, the proviso for sourcing components from local suppliers listed in the MNRE’s March 10 ALMM order is also explicitly mentioned. Going by all these factors, and the presence of SECI itself as the purchaser with back to back arrangements with the state discom, this one does look like an interesting tender, considering the recent MSEDCL tender that attracted bids at Rs 2.41/unit without the presence of SECI.

Tata Power Empaneled for 84MW Rooftop Solar Project By KSEB

Tata Power, India’s largest integrated power company, has been empaneled and won a contract worth Rs 400cr from the Kerala State Electricity Board Limited (KSEBL) on July 2, 2021 to develop 84MW solar rooftop project for domestic consumers across all districts of Kerala. As a part of this agreement, the company will implement projects through KSEBL of 64MW for individual households with solar capacity ranging from 3kW – 10kW and 20MW for residential / housing society projects with solar capacity ranging from 11kW – 100kW. For Kerela, long seen as a solar laggard despite being the first with a fully solar airport, or a floating solar plant, the scheme’s success is key to becoming more self-sufficient for its power needs.

The company has won this capacity in a bid announced by KSEBL in Feb 2021 under the ‘Soura Subsidy Scheme in Domestic Sector’, Kerala, in line with the Phase II Subsidy Programme of the Ministry of New & Renewable Energy. The scheme has an eventual aim of installing solar panels on 75,000 homes, which will contribute 350 megawatts (MW) of power to the state’s grid. The project has to be commissioned within three months of receipt of an order from individual residential customers. The company had earlier received a Letter of Award from KSEBL on 6th January 2021 to develop a 110 MW rooftop solar project which is expected to generate about 274 MUs of energy per year. Excess power is to be sold to KSEB at Rs 3 per unit.

Upon completion of this 84MW of solar rooftop project, it is expected to generate 120 MUs of energy per year, besides playing an important role of meeting RPO obligations for KSEB.

“We are delighted to secure the 84MW rooftop project from KSEBL and are proud to have this opportunity to support domestic consumers migrate to Green Energy. This project is testament of KSEBL’s trust in our commitment to drive India’s transition towards Clean Power through rooftop solar-based generation”, said Dr. Praveer Sinha, CEO & MD, Tata Power.

For Kerela, even as it has lagged on utility scale projects for various reasons, the rooftop focus is welcome as the state has a relatively higher proportion of independent housing units as compared to other states, making a strong case for rooftop solar. A more affluent and aware population should also make the case stronger for rooftop solar. Conditions on timely response post an order from a customer are also welcome, as discoms in many states have taken to sitting on such permissions for inordinately long times.

The state, which is a net power importer till date, hopes to meet 25% of its energy requirements from solar by 2022 end. That would be close to 1000 MW.

For Tata Power, an early mover in rooftop solar with the widest network in the country, the empanelment is also welcome as it gets to service virtually captive demand in the state.

ACME, Renew Win MSEDCL 500 MW Solar Tender

ACME Solar continued its strong return to markets in 2021, with another 300 MW win in Maharashtra State Electricity Distribution Company Limited (MSEDCL)’s 500 Mw solar tender. ACME bid at Rs 2.42 /unit. The second winner was another renewable energy firm that has opened up better capital market access recently, ReNew Power, which bid Rs 2.43 for a 200 MW supply of solar power. Both the winners will now enter into a 25 year PPA with MSEDCL for supply of power. ACME, which has a stated policy of churning its competed assets in favour of new developments, a new phase of fresh development is clearly on, even as it continues to sell older assets in its portfolio.

The tender had received a strong response, and as far as we could collect, total bids were for an aggregate supply of almost 3.5 GW. For MSEDCL, this was a good result, as not only has response been high, but with no SECI in the picture, it has also managed a very acceptable bid price.

Among bidders missing out are Avaada Energy, NTPC Limited, TP Saurya (Tata Power), all of whom bid for 500 MW (490 MW in case of NTPC), all at prices over Rs 2.50 /unit.

The current tender stood out for a few different tweaks MSEDCL tried, to get a higher response and better prices.

The key one was the decision to remove a price cap, as its previous tender had capped prices at Rs 2.90/unit at a time of high volatility.

It also reduced the EMD (Earnest Money Deposit) requirements to Rs 4 lacs /MW, and a reduced performance guarantee of Rs 8 lacs instead of Rs 14 lacs per Mw.

The results do indicate a very high interest, and funding available with the larger players to bid for solar projects. Especially overseas funding. And despite all the fears of steep price hikes, competition and projections of better sourcing options in 2022-23 seem to have helped keep bid prices relatively low.

With winners bidding for, and getting large parcels, it also signals tougher times for smaller players, who used to win small 50 MW lots. Though auctions continue to offer options of bidding from 10 MW to 50 MW minimum sizes, we could be seeing a clear shift to very few but large winners even for larger tenders.

The results will also be watched carefully by many other state discoms that are in better financial health, as we have seen many beginning to chafe at SECI’s 7 paise trading margins now.