Mumbai, Oct. 30 -- The Central Electricity Regulatory Commission (CERC) has approved tariffs for 448 MW of Firm and Dispatchable Renewable Energy (FDRE) procured by SJVN. The discovered rates range from Rs. 4.82 to Rs. 4.91 per kWh and cover projects connected to the Inter-State Transmission System for round-the-clock power supply. The order was issued on October 26, 2026, under Petition No. 233/AT/2026.

SJVN, acting as a Renewable Energy Implementing Agency (REIA) and intermediary procurer for the Ministry of New and Renewable Energy, had invited bids in July 2024 for 1,200 MW of FDRE capacity. The tender followed Ministry of Power guidelines requiring developers to combine renewable generation with Energy Storage Systems to provide reliable, dispatchable electricity aligned with distribution companies' demand profiles.

Five developers submitted bids for a combined 560 MW. Under the tender conditions, the awardable capacity was limited to 80 per cent of the quoted capacity, resulting in an eligible allocation of 448 MW. SJVN conducted an electronic reverse auction on February 27, 2025, awarded the capacity to all five participants and issued Letters of Award in May 2025.

ReNew Solar Power secured 100 MW at Rs. 4.82 per kWh, while EG Energy Development received 60 MW at Rs. 4.83 per kWh. Dineshchandra R Agrawal Infracon and Serentica Renewables India each received 100 MW at Rs. 4.86 and Rs. 4.89 per kWh, respectively, while Tata Power Renewable Energy secured 88 MW at Rs. 4.91 per kWh. CERC found the bidding process transparent and non-discriminatory, and considered the tariffs competitive against earlier FDRE projects with rates above Rs. 5 per kWh.

The Commission conditionally approved SJVN's requested trading margin of Rs. 0.07 per kWh, payable by buying entities. The margin will be limited to Rs. 0.02 per kWh if SJVN does not provide developers with an escrow arrangement or an irrevocable revolving letter of credit. SJVN must also submit the finalised Power Purchase Agreements and Power Sale Agreements after execution.

Published by HT Digital Content Services with permission from Construction World.