APGCL releases RFP for 60 MW(ac) solar PV project in Assam

Assam Power Generation Corporation Limited (APGCL) released an RFP for setting up of grid interactive solar PV project at Amguri in Sivasagar District of Assam last week. The project is scheduled to be setup as a joint venture between APGCL and the prospective developer.

APGCL has noted that it holds about 345 acres of land in the region which was scheduled to be used for other projects but has now repurposed it to accomodate a solar PV project. APGCL estimates that the land area can accomodate 60 MW(ac) or 69 MW (dc) equivalent of solar PV capacity. It was also noted that the capacity can be subject to change depending on the outcome of a detailed feasibility study to be undertaken in the region. The intent as it stands it to setup a solar PV plant in the region through three phases of 20 MW each. The nearest substation is about 40 km from the site location and it is the responsibility of the developer to draw an EHV line and setup an EHV substation for the purposes of evacuation.

The nature of the JV proposed by APGCL is as follows

  • A JV company (Special Purpose Vehicle) shall be formed for development of the project.
  • The equity share of APGCL shall be 26%.
  • The land shall be leased out to the JV Company for 25 years.
  • The JV Company shall have to pay rent of the land to APGCL.
  • The JV Company shall have to relinquish right over the assets/ power generation etc after 25 years and all properties shall stand transferred to APGCL after 25 years.

Interestingly, the qualification criteria for the bidders lists that the bidder must be a manufacturer of solar PV modules with a capacity of at least 100 MW. In addition to this, the bidder would have had to have developed/operated a minimum of 100 MW(dc) (cummulative) solar projects either in India or globally with a minimum of 25 MW(dc) in operation in India. The successful bidder would be chosen based on the lowest levellized tariff achieved over a period of 25 years i.e. the life of the project.

The last date for submitting queries is 8th April 2014 with a pre-bid meeting scheduled to be held on 22nd April 2014. The last date for submission of proposals is set on 17th June 2014 with the opening of the technical proposal is scheduled to be undertaken on the same day. The day for opening/evaluation of the financial bids will be intimated at a later date to the qualified bidders.

The eligibility criteria is likely to heavily limit the number of prospective bidders as it seems rather stringent. It would be interesting to see which company succceeds in getting the allocation and at what price they would do so. The RFP can be accessed in its entirety here.