SECI’s 1.2 GW wind auction discovers lowest tariff of Rs 2.77 per kWh

In the Solar Energy Corporation of India’s (SECI) latest auction for developing 1.2 GW of interstate transmission system (ISTS)-connected wind projects (Tranche X) in India, Adani Renewable Energy, Ayana Renewable Power, Evergreen Power and JSW Future Energy emerged as winners. Of the total capacity, Adani Renewable Energy won 300 MW of wind projects at a tariff of 2.77 per kWh, the lowest tariff in the auction. Further, Ayana Renewable Power won 300 MW, Evergreen Power won 150 MW and JSW Future Energy won 450 MW, all at a tariff of Rs 2.78 per kWh. JSW had placed bids for 600 MW, but was awarded only 450 MW under the bucket-filling method. The auction had received bids for a total of 3.15 GW of projects from 11 developers with tariffs as high as Rs 3.39 per kWh.

The tender was originally floated by SECI in December 2020. As per the tender document, developers are required to develop wind capacities to supply power to SECI. Further they must identify and acquire land for the projects, install and operate the projects, and acquire connectivity and long-term open access approvals for connection with the ISTS network. The winning bid of Rs 2.77 per cent is about 7 per cent lower than the lowest tariff discovered in the last SECI auction for 2.5 GW ISTS-connected wind projects (Tranche IX) in August 2020.

For wind projects in India, the all-time lowest tariff discovered was Rs 2.43 per kWh quoted in the Gujarat Urja Vikas Nigam Ltd 500 MW auction in Gujarat in December 2017. Evergreen Power in collaboration with K.P. Energy as secured 30 MW of projects at Rs 2.43 per kWh.