Solar power tenders floated in November last year by the state power utility Tangedco is still grappling to get bidders. It is that first time that Tangedco solar tender has faced such response. The base tariff for solar tender was Rs 3 a unit.
TOI citing sources reports that Tangedco’s poor financial health is one of the factors, bidders wanted the power utility to give guarantees on payments for purchase of power from private solar companies. But, because of financial difficulties, the discom refused to provide any guarantee.
solar and wind power tenders for 500MW each was floated by Tangedco after getting nod from Tamil Nadu Electricity Regulation Commission (TNERC). The companies that were awarded the tenders had to complete their projects within a year.
A senior official speaking to the publication on condition of anonymity said “The bidders sought a timely payment guarantee, which we are unable to provide because of our financial difficulties. Moreover, they wanted the ceiling tariff to be removed. But that is not in Tangedco’s hands as it is a condition imposed by the TNERC.”
It took almost nine months for solar and wind power companies to get their dues from Tangedco for the power sold to the discom.
A single bidder must bid for a minimum capacity of 25MW with at least 5MW of project one site. A
Tamil Nadu is lagging behind the other states in the race in solar power capacity; however it boasts maximum capacity in wind power generation.
Tamil Nadu has only 9% of the total Indian solar capacity while Karnataka has 24%, Andhra Pradesh 11% and Telangana 16%. With zero response to the tenders, Tamil Nadu’s solar capacity may go down further this year says the report.