News / IPPToday #118: 860 MW of solar projects to be tendered in Karnataka, India

IPPToday #118: 860 MW of solar projects to be tendered in Karnataka, India

🕔 December 18, 2017
IPPToday #173: Statoil to develop 1200 MW offshore wind in Polish Baltic Sea

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Karnataka Renewable Energy Development Ltd (KREDL) is inviting Requests for Proposals for 860 MW of solar projects. KREDL is a nodal agency of the government of Karnataka, responsible for promoting and facilitating the development of renewable energy in Karnataka, a state in the south-west of India.

The megawatts will be allocated across 43 selected taluks, regional subdivisions of Indian states. Ten taluks are reserved for module manufacturers. Interested parties are invited to bid for the design, finance, procurement of land, engineering, procurement, construction, operation and maintenance of ground-mounted photovoltaic (PV) plants. Each plant must have a capacity no less than 3 MW and no more than 20 MW per taluk. However, a bidder can propose any number of projects.

The power produced by the plants will be purchased by electricity supply companies (ESCOMs) in Karnataka. 

The deadline to submit bids is January 8, 2018. The technical proposals will be opened on January 10, while the date for the financial bids opening will be set at a later stage. KREDL has adopted a single stage bidding process. Following the reception of proposals, the bidder who quotes the lowest effective tariff will be selected.

Both individual businesses and consortia are invited to bid, but eligible consortia cannot contain more than three members.

KREDL have stipulated that financial close must be achieved within eight months of the signing of Power Purchase Agreements. Full commercial operations must be achieved within eighteen months.

For more information on the tender, see the Business Opportunity.  

The government of Karnataka aims to produce 6 GW of solar power in the state by March 2021. This should constitute 8% of the total energy consumption. This was announced in January this year. At the time of the announcement, current installed solar power capacity, including rooftop, was 300 MW. However, the target is not as wildly ambitious as it seems; the state’s solar energy potential is estimated to be almost 25 GW.

Seemingly motivated by this target, KREDL launched another solar tender earlier this month. As reported on this platform, proposals for the design, engineering, procurement, construction, supply, installation, testing and commissioning of 200MW solar power plants are due on 3 January 2018. 

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