PSPCL floats tender for 500 MW of solar projects

Punjab State Power Corporation Limited (PSPCL) has issued a request for proposal to procure power from grid-connected, floating solar or ground-mounted solar projects of a cumulative capacity of 500 MW. The ceiling tariff of the tender has been set at Rs 2.75 per kWh. The projects will be situated in Punjab.

According to the tender guidelines, a bidder must submit a minimum bid capacity of 2 MW and a cumulative capacity of at most 500 MW. The bidders are required to submit an earnest money deposit of Rs 400,000 per MW of the quoted capacity. Furthermore, the developers are required to submit a performance bank guarantee of Rs 1.18 million per MW of the allotted capacity. In addition, the developers are required to sign a power purchase agreement (PPA) with PSPCL for a period of 25 years. The PPA should be signed within 30 days from the date of executing the letter of award. The projects are scheduled to be commissioned within 18 months of the signing of PPA. The bid submission deadline is September 12, 2023.

Recently, in July 2023, a contract worth Rs 70 billion had been awarded by PSPCL to state-owned SJVN Limited for the establishment of 1,200 MW of solar projects.

In June 2023, PSPCL announced two different tenders to procure 1 GW and 200 MW of solar power from grid-connected photovoltaic projects. According to the tender guidelines, the bidders selected by PSPCL will build solar projects across Punjab.