The Madhya Pradesh Urja Vikas Nigam (MPUVN) has on Tuesday completed tender process for solar power plants on rooftop of the industries in Mandideep. The lowest tariff of the electricity from the tender would cost Rs 4.61 per unit.

The electricity tariff discovered under this tender will be same for all 164 industrial beneficiaries.

The tender for 10.8 MW was oversubscribed by 33%. The reverse auction for this tender lasted for almost three hours and a solar tariff of Rs 4.61/unit was discovered. M/s Hero Rooftop Energy Pvt Ltd was the L1 and M/s NTPC Vidyut Vypar Nigam Limited was the L2 with Rs 4.62/ unit. As per the tender conditions L2 has to match L1 rate to become eligible to get the remaining capacity after capacity allocation to L1.

Industrial beneficiaries located in Mandideep Industrial area are presently paying an electricity tariff of Rs 7.00/ unit to state utility, electricity under this tender will be supplied at a 34% discount compared to their existing rate. This will result in to a first year saving of Rs 2.39 Cr and cumulative saving of Rs 233 Cr for industrial beneficiaries over a life of 25 years.

Notably, the MPUVN has already introduced two projects- Renewable Energy Service Company (RESCO) I & II rooftop solar, last year. Under this, the low tariff of Rs 1.58 and Rs 1.38 per unit respectively was achieved.

The industrial beneficiaries under this tender are a mix of small, medium and large industries having different financial profile, contract demand, electricity consumption profile and rooftop size. All the beneficiaries under this tender were grouped into three packages of 3.6 MW each such that each package is similar in terms of capacity of rooftop systems, their counts and financial profile (EBITDA/ credit ratings) of beneficiaries. Bidders can bid for one or more packages.