Guidelines for Tariff Based Competitive Bidding Process for Procurement Power from Grid Connected Wind Power Projects


The Ministry of Power (MOP) has published the Guidelines for Tariff Based Competitive Bidding Process for Procurement Power from Grid Connected Wind Power Projects. These guidelines, dated 26th July, 2023 were published on 2nd August, 2023.

The wind power deployment in the country started in early 90s and with the conducive policy environment provided at Central and State level this segment has achieved highest growth amongst the other renewable energy technologies. The wind power installed capacity in the country is over 43GW as on 31st May, 2023, providing more than 10% of total installed capacity.

Globally India is at 4th position in terms of wind power installed capacity after China, USA and Germany. The Government of India has set an ambitious target of achieving 500 GW power capacity from non-fossil fuel resources by 2030.

The National Institute of Wind Energy (NIWE) assessed the wind power potential in the country, which is estimated to be around 1,164GW at 150 meter above ground level. Most of this potential exists in eight States namely Andhra Pradesh, Gujarat, Karnataka, Madhya Pradesh, Maharashtra, Rajasthan, Tamil Nadu and Telangana.

The specific objectives of these Guidelines are as follows:

  • To facilitate renewable capacity addition and fulfilment of Renewable Purchase Obligation (RPO) requirement of distribution licensees;
  • To provide a transparent, fair, standardized procurement framework based on open competitive bidding with appropriate risk-sharing between various stakeholders to enable procurement of power at competitive prices in consumer interest, improve bankability of projects and ensure reasonable returns to the investors; and
  • To provide for a framework for the inter-state/ intra-state, long-term, sale-purchase of power as a further measure to derisk the sector.

These Guidelines are issued for procurement of electricity by the Procurer(s), from grid-connected Wind Power Projects (WPP) having:

  • bid capacity of 10 MW and above for projects connected to intra-state transmission system; and
  • bid capacity of 50 MW and above for projects connected to inter-state transmission system.

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