PFC Consulting invites ISTS bids to evacuate 40 GW of renewables

Under Phase-Ill, Part-A1, PFC Consulting, a wholly-owned subsidiary of Power Finance Corporation (PFC), has requested proposals to construct an interstate transmission system (ISTS) to evacuate 20 GW of power from Rajasthan’s renewable energy zone. Similarly, in another tender, PFC Consulting has issued a request for proposals to create ISTS to evacuate 20 GW of electricity from Rajasthan’s renewable energy zone under Phase-Ill, Part-A3.

As per the tender guidelines, to be eligible for the bidding process, within ten days of the issuance of the letter of intent for the transmission project under Phase Ill, Part-A1, the winning bidder must provide a contract performance guarantee in the amount of $1.45 million. The winning bidder for the transmission project under Phase III, Part-A3, will be required to provide a contract performance guarantee in the amount of $2.64 million from the date of the issue of the letter of intent. Within 18 months after the effective date, the projects must be completed. The transmission projects will be developed on a build, own, operate, and transfer basis. The bid submission deadline is April 18, 2022.

In September 2021, PFC issued its 7-year Euro Bond, which is a green bond on September 13, 2021, raising Euro 300 million. This is India’s debut Euro-denominated green bond issuance and is the first Euro issuance by an Indian non-banking financial company. As per the release, the pricing of 1.84 percent achieved is the lowest yield locked in by an Indian issuer in the Euro markets. Institutional investors from Asia and Europe showed strong interest with participation from across 82 accounts and were oversubscribed 2.65 times.