REC Limited Issues 125 MW Solar tender for Uttar Pradesh Districts

Land availability in Uttar Pradesh for solar projects

REC power Distribution company Limited (RECPDEL), a subsidiary company of  REC Limited has issued a notice or two solar projects in UP’s Kanpur Dehat and Jalaun District, for solar projects. The size of the solar projects has been pegged at 50 MW ac for Kanpur and 75 MW ac for Jalaun. The location f the proposed project sites is 12 Kms and 20 kms from the nearest sub station with a 132 KV line.

While pre-bid meeting has been set for August 8, the deadline and date of opening of bids is fixed for August 12, 2021.

The tender specifies a total of ZD+450 days or completion and activation of the projects, where ZD is zero date, taken as the date when the letter of handover of land is given to the contractor executing the project. Maintainance of the project post handover has been specified for just a three year period initially.

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Qualifying criteria for bidders includes a provision for a minimum annual turnover of Rs 340 crores in the last financial year, among other things.

The contracts performance cum security guarantee (CPSG) has been placed at Rs 50,000 per MW for the whole 125 MW capacity to be renewed each year of the project duration.

The detailed tender document even goes to the extent of specifying a minimum net annual guaranteed generation for both the plants, at 110.98 million units for the 50 MW plant, and 116.48 million units for the 75 MW plant, in year 1 of operations. Allowing for a very little degradation in year 2 and 3 of maintainance under the contract.

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The detailed 160 page tender does its best to cover every possible requirement, but it remains to be seen how  the biggest challenge, of setting up projects in a state that has generally been full of challenges on the ground, and susceptible to delays at every level of approvals, impacts response. We would say, expect a surprise if and when a winner if finally declared.