Latest solar auction in India gets record-low price, strong interest from foreign companies.

The Solar Energy Corporation of India’s (SECI) latest auction saw a record low bid of ₹2.36 (~$0.0313)/kWh.

The auction was conducted for 2 GW of the interstate transmission system (ISTS) connected solar projects (Tranche IX). This is about 3.3% lower than the previous lowest quoted tariff of ₹2.44 (~$0.032)/kWh. ACME had quoted a tariff of ₹2.44 (~$0.032)/kWh in two of SECI’s auctions; one for 3 GW and another for 2 GW of ISTS-connected solar projects held in July 2018.

The L1 (lowest) tariff was quoted by Solarpack Corporacion Tecnologica SA, Avikaran Surya India Private Limited (Enel Green Power), Amp Energy Green Private Limited, Eden Renewables, and ib vogt Singapore Private Limited quoted the second-lowest tariff of ₹2.37 (~$0.0314)/kWh.

AMP Energy won 100 MW of projects, while the other companies won 300 MW of projects each.

A SECI official confirmed the auction results stating that “We are happy to note a few first-timers and a majority of the winners are foreign companies, which is encouraging. And of course, the tariff is low, which is very good.”

The winning bidders were from seven different countries; Solarpack (Spain), Enel Green Power (Italy), Amp Energy (Canada), Eden Renewables (France), ib vogt (Germany), Ayana Renewable (United Kingdom) and ReNew Power (India).

1 July 2020

IEEFA