Gujarat has issued its second tender for 1GW of wind power through the competitive bidding process.
The first tender for 500MW in December 2017 saw a record low tariff of INR 2,440/MWh ($35.28/MWh) leading to significant turbulence in the wind sector.
The latest tender issued by state utility Gujarat Urja Vikas Nigam (GUVNL) allows a bid capacity range of 25MW to 300MW.
The other major tender conditions include a standard 25-year power purchase agreement (PPA) and allowance to claim fiscal incentives.
The last date for bid submission is 30 March.
It comes on the heels of a recently published land policy from the state. Developers are expected to bid only for areas identified and earmarked by the state.
As it is a state tender, bidders can expect to get their choice of land within the identified areas.
The state regulator is also expected to require bidders to declare at least three deals with wind turbine suppliers and contractors for the execution of projects.
At the national level, barely two weeks after the results of the round six tender and announcement of round seven tender, the Government’s Solar Energy Corporation of India (SECI), which adminstrates the auctions, released its Tranche 8 tender seeking to procure a further 1.8GW.
The early release of the tenders is to ensure that new capacity is contracted before the federal elections due in April.
SECI has decided to increase the tender capacity to 1.8GW from 1.2GW as a result of oversubscription in the recent rounds.
This indicates confidence levels are once again increasing in India.
The last date for submitting the tender document is 29 March. Auctions for both tenders are expected to take place in early April.