Studying Time: 2 minutes
A latest petition filed by the Photo voltaic Vitality Company of India Restricted (SECI) below the Electrical energy Act, 2003, sought the adoption of tariffs for Wind Energy Tasks (Tranche XII) linked to the Inter-State Transmission System (ISTS). These tasks had been chosen by way of a aggressive bidding course of outlined by the Authorities of India’s pointers.
SECI, performing as an middleman company, initiated the method by issuing a Request for Choice (RfS) together with draft agreements for energy buy and provide. Fifteen bids had been acquired, providing a complete capability of three,330 MW, all of which met the technical standards. Subsequently, 4 bidders providing 1,100 MW had been chosen by way of an e-reverse public sale.
The fee reviewed whether or not the tariff willpower course of adopted the rules set by the Ministry of Energy, Authorities of India. It was discovered that SECI adhered to the prescribed procedures, together with the publication of the RfS on the federal government’s e-publishing system, in step with the advisory to publish tenders on-line relatively than in newspapers.
After the technical qualification of bidders, monetary bids had been opened, and profitable bidders had been chosen. Nonetheless, the capability below the ability buy agreements (PPAs) was later adjusted as a result of cancellation of a letter of award to one of many bidders.
The fee licensed that the bidding course of was performed following the rules, with SECI offering conformity certificates to affirm compliance.
Because of this, the fee accepted the person tariffs for the wind energy tasks, as agreed upon by the profitable bidders. Moreover, the buying and selling margin of ₹0.07/kWh, agreed upon within the energy provide agreements (PSAs), was accepted.
Nonetheless, it was famous that if SECI fails to supply an escrow association or an irrevocable, unconditional, and revolving letter of credit score to the wind turbines, the buying and selling margin could be restricted to ₹0.02/kWh. In conclusion, the petition was disposed of with approval granted for the proposed tariffs and buying and selling margins, contingent upon compliance with fee safety mechanisms outlined within the agreements.
