India’s largest rooftop solar tender to see record low tariffs: Bridge To India

India’s largest rooftop solar tender to see record low tariffs: Bridge To India

rooftop solar tender

Just last week, Solar Energy Corporation of India (SECI) launched a tender of 1000 MW capacity for development of grid-connected rooftop solar capacity for Central Government Ministries/Departments. The largest rooftop tender launched by SECI is expected to give a big boost to Rooftop Solar Power Generation Segment and help in fulfilling the Modi Government’s target for installation of 40 GW rooftop solar power plants by the year 2022.

The bidding process under this Rooftop scheme is for 300 MWp comprising of CAPEX Model & 700 MWp comprising of RESCO Model. SECI will conduct bidding on a state-by-state basis. According Bridge to India all bidders will be expected to match the lowest bid (L1) for the respective states.

  • Government customer segment is likely to play a crucial role in scaling up of the rooftop solar market in India as various central government departments and agencies have made commitments to install aggregate rooftop solar capacity of 6 GW for internal consumption;
  • A majority of systems under this tender are likely to be installed on educational and training institutes;
  • With capital subsidies of up to 35-90% available as part of this tender, we expect project costs and tariffs to reach record lows;

Various departments and ministries under central government have collectively committed to deploying 5,938 MW of rooftop solar capacity for their internal power consumption. SECI has already identified suitable rooftops with the potential to install at least 1,000 MW solar capacity. Buildings under the Ministry of Human Resources and Development account for over 70% of the identified capacity. This means that most of the systems are likely to be installed on educational and training institutes.

Also Read All you need to know about SECI’s 1000MW tender for rooftop solar

Bidders are expected to sign PPAs or EPC contracts within 6 months and complete construction within 15 months after the awarded date.
BRIDGE TO INDIA expects a very enthusiastic response to the tender both from rooftop solar specialists and utility solar players. In the last 500 MW rooftop solar tender by SECI, tariffs dropped to an all-time low of Rs. 3 (US¢ 4.4)/kWh for special category states on the back of a significant capital subsidy. We expect tariffs under this tender to fall even lower for special category states as buildings have already been identified and government off-take is more bankable than private sector off take said Bridge To India in a press statement.
This tender from SECI is expected to give great opportunity to scale up rooftop solar segment in the country which accounts to only 10% of the total installed capacity.

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