It is the first time in India that a tariff below ₹3 per unit has been achieved for a Firm and Dispatchable Renewable Energy (FDRE) project. It is also the first time that a project will provide the same level of supply — 220 Mw — during both peak hours and normal solar generation hours.
"This is also the first solar-plus-storage project in the country with assured annual availability of 95 per cent supply," Manu Shrivastava, additional chief secretary, new and renewable energy, Madhya Pradesh, told Business Standard.
The Morena Solar Park comprises two solar-plus-battery storage units, each supplying 220 Mw power in three periods — real-time solar, two hours during evening using stored solar, and two hours in the morning using stored free input power from the grid. The project has been developed and auctioned by Rewa Ultra Mega Solar Limited (RUMSL) and its power will be procured by MP Power Management Company Limited (MPPMCL).
"The e-reverse auction will fix the sub-₹ 3 per unit tariff for 25 years, marking a milestone low tariff for FDRE tenders across India that had till now achieved the lowest tariff of ₹3.09, which was for assured availability of supply of only 50% of the contracted solar capacity during 2 peak hours in evening, and with 85 per cent annual availability," Shrivastav said.
He said 16 bidders participated in the tender, with an over-subscription of around 10 times the bid capacity to be procured. Two bidders who quoted the highest tariff were eliminated in accordance with RFP provisions and 14 bidders participated in the e-reverse auction.
The bidders included Acme Solar, Adani Renewable, AMPIN Energy, Apraava Energy, CEIGALL India, Dilip Buildcon, Engie, MB Power, NTPC Renewable Energy, Purvah Green, ReNew Solar, Serentica Renewables, Shivalaya Constructions and Waaree Forever Energies.
RUMSL will provide land and internal power evacuation infrastructure as the Park Developer. The project features a three-tier payment security mechanism, including a state guarantee for improved bankability, fairer termination compensation for procurer default, assured procurement of excess energy, and compensation for reduced offtake and grid unavailability.
Commenting on the record low tariffs achieved, Madhya Pradesh Chief Minister Mohan Yadav expressed the resolve of the state government for more energy storage projects, with longer hours of assured availability to build upon the success achieved in the Morena Project.
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