TNERC rejects TNGECL's PM-KUSUM Scheme tender

Tamil Nadu Electricity Regulatory Commission denied Tamil Nadu Green Energy Corporation’s PM-KUSUM tender due to overlooking both tariff ceiling and MNRE’s bidding rules.

By Karthik Srivasthav G 28 Feb 2025 in Business Bytes India Bytes

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TNERC pointed out that the lack of a tariff ceiling and poor bidder response led to the rejection of TNGECL's tender under PM-KUSUM. Image Credit/Source: Kelly/Pexels

The Tamil Nadu Electricity Regulatory Commission (TNERC) has rejected Tamil Nadu Green Energy Corporation Ltd. (TNGECL)'s request for approval of a power purchase under the PM-KUSUM Scheme-Component A. TNERC stated that the absence of an upper ceiling tariff in the tender violated both its previous order and Ministry of New and Renewable Energy (MNRE) guidelines. TNGECL had floated the tender on February 14, 2024, for a 5 MW capacity at ₹3.28 per unit. The tariff was considered uncompetitive due to the declining rates of solar power. Despite an approved capacity of 420 MW, the tender received limited bids due to non-compliance with MNRE rules. TNERC directed TNGECL to revise the tender accordingly.

#India #PMKUSUMScheme #TNERC #TNGECL

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