A month after the Solar Energy Corporation of India (SECI) cancelled its 1,000 MW Firm and Dispatchable Renewable Energy (FDRE) tender, which was intended to supply surplus renewable power from its existing projects, it has now floated a fresh tender to monetise the available renewable power through a trading partner.
SECI invited bids to establish a collaboration with a Power Trading Licensee (PTL) to trade current renewable power available with the corporation. The arrangement will initially be valid for three years, with the option to extend it by an additional year, subject to satisfactory performance and mutual agreement. It has sought bids till September 7, 2026
The corporation aims to select an experienced and financially sound PTL to facilitate trading arrangements for renewable energy generated from its existing as well as upcoming portfolio. Eligible trading partners have been invited to procure power from projects already tied up under SECI’s long-term Power Purchase Agreements (PPAs).
The tender covers projects where buying entities have not yet commenced power offtake, projects with untied capacity, and renewable power generated from SECI’s own renewable energy plants and Battery Energy Storage System (BESS) assets where offtake has not yet begun.
SECI Proposes To Appoint Trading Licensees
To implement this initiative, SECI proposes to appoint trading licensees to procure the available renewable power on a short-, medium-, or long-term basis in accordance with the applicable regulatory framework. These include the Central Electricity Regulatory Commission (CERC) Trading Licence Regulations, the CERC Trading Margin Regulations, 2020, and the applicable Grid Code and Market Regulations.
SECI will execute a Power Trading Agreement (PTA), Power Sale Agreement (PSA), or any other appropriate agreement with the selected bidder under this Request for Selection (RfS). These agreements will be executed periodically based on the availability of power from renewable energy projects covered under SECI’s long-term PPAs.
The selected trading licensee will have a lock-in commitment for the quantum accepted under the PTAs/PSAs. However, SECI will not be liable for any shortfall in power supply arising from reduced project generation due to grid constraints, force majeure events, regulatory directions, or any other circumstances beyond its control.
For long-term PPAs where projects have not yet been tied up with a DISCOM or any other buying entity, SECI will execute long-term PSAs with the selected PTL for a period of 25 years, in accordance with the provisions of the PSA and the applicable terms of the RfS.
SECI Seeks To Enable Joint Development of CAPEX Projects
SECI may also explore the joint development of renewable energy projects, including solar, wind, hybrid, Firm and Dispatchable Renewable Energy (FDRE), Round-the-Clock (RTC) projects, grid-scale Battery Energy Storage Systems (BESS), and Pumped Storage Projects (PSPs), with the selected PTL.
Where appropriate, Joint Ventures (JVs) or Special Purpose Vehicles (SPVs) may be incorporated with a minimum 26% equity participation by the PTL. Investment structures, equity participation, cost-sharing, risk-sharing, and revenue-sharing models will be finalised through mutual agreement.
The selected PTL will procure renewable energy from SECI on a long-term basis for onward sale to DISCOMs, commercial and industrial (C&I) consumers, bulk consumers, and through various market platforms and trading mechanisms.
SECI Seeks To Bridge Gap With Untied Renewable Capacity
SECI has categorised projects based on their current stage in the tender process.
Category A comprises untied renewable energy capacity. It includes projects awarded by SECI under the applicable bidding guidelines where the Letter of Award (LoA) has been issued to the Renewable Power Developer (RPD), but the corresponding long-term PSA has not yet been signed with a buying entity.
Available Renewable Energy Capacity Under Existing PPAs/PSAs
This category covers renewable energy capacity already tied up under SECI’s PPAs and PSAs but which becomes available due to delayed or non-commencement of power offtake, temporary or prolonged non-offtake by the buying entity, availability of power before the Scheduled Commercial Operation Date (SCOD), surrender or reduction of contracted capacity, or similar circumstances.
Depending on the availability of such power, SECI may offer it to the selected PTL for short-, medium-, or long-term sale through bilateral arrangements, power exchanges, or any other permissible market mechanism. These arrangements will remain temporary and will not affect the rights and obligations of SECI, the Renewable Power Developer (RPD), or the buying entity under the corresponding PPAs and PSAs.
SECI will execute a Power Trading Agreement (PTA) with the selected PTL based on the availability of renewable energy under this category.
SECI-Owned CAPEX Renewable Energy/BESS Projects
This category includes renewable energy and Battery Energy Storage System (BESS) assets developed or owned by SECI under the CAPEX model. The tenure, pricing methodology, revenue-sharing mechanism, and other commercial terms will be determined by SECI on a case-by-case basis.
Joint Development/Strategic Partnership Projects
This category comprises renewable energy, BESS, and other energy projects jointly developed by SECI with government agencies, public sector undertakings (PSUs), Joint Ventures (JVs), Special Purpose Vehicles (SPVs), or other strategic partners. The commercial framework—including tenure, tariff, trading margin, and revenue-sharing mechanisms—will be governed by the respective project agreements and mutually agreed terms approved by SECI.
Bidders are required to submit their proposals along with a non-refundable Bid Processing Fee of Rs. 25,000 plus applicable GST. Payment through NEFT/RTGS,. A bidder will become eligible to participate only after submitting the prescribed fee.