Wind tariff in India has dropped to an all-time low of Rs 2.64 per unit in an auction for 1GW projects conducted by the Solar Energy Corporation of India (SECI) on behalf of Ministry of New & Renewable Energy, according to an official statement.
The ministry said the tariff discovered is much lower than first wind auction concluded at Rs 3.46 per kWh in February this year. India has set a target of having 175 GW of renewable energy including 100GW of solar and 60GW of wind power by 2022. With improving technology and reducing tariffs, the ministry is not only confident of achieving the target of 175 GW by 2022 but exceeding it.
Against the 1,000 MW capacity SECI received 12 number of bids totalling to 2,892 MW capacity of which 9 bids with a cumulative capacity of 2,142 MW were shortlisted for e-reverse auction. Five winners selected for total 1,000 MW capacity wind power projects include ReNew Power for 250 MW projects quoting Rs 2.64/kWh, Orange Sironj for 200 MW projects quoting Rs 2.64/kWh, Inox Wind for 250 MW projects quoting Rs 2.65/kWh, Green Infra for 250 MW projects quoting Rs 2.65/kWh and Adani Green for 50 MW projects quoting Rs 2.65/kWh. These wind projects are to be commissioned within 18 months from the date of issue of Letter of Award by SECI to successful bidders.
As per provisions of scheme additional 100 MW capacity can be allotted to Central Public Sector Enterprises (CPSEs) willing to undertake development of inter-state transmission system (ISTS) connected wind power projects at the lowest bid tariff of Rs 2.64/kWh, for which they have to submit their proposal within 30 days from the declaration of results of e-reverse auction.
The power from these projects would be supplied to obligated entities for fulfilment of their non-solar RPO obligation at pooled price of capacity selected, the ministry said.