NEW DELHI: State-run power producer NTPC Ltd has begun scouting for operational solar plants that it can acquire, with the company issuing a request for proposal (RFP) on Friday inviting bids from the promoters, lenders or authorised representatives of such assets.
According to the RFP document, the company is mulling increasing its renewable energy capacities by acquiring, at a minimum, at least 1 GW worth of solar projects. Experts note that going by current development cost per megawatt of capacity, this may cost the company more than Rs 4,000-4,500 crore.
The RFP called for bids from “promoters or lenders, authorised financial intermediaries of power generation companies, independent power producers or developers for offering operational solar-based assets located in India”. While no such mention is made in the RFP,
officials say that the firm is likely to focus only on plants with high locally manufactured infrastructure and actively avoid China-made equipment and projects. As per the RFP, eligibility criteria includes a state- or CERC-approved tariff of less than or equal to Rs 5 per unit and at least 50 MW of operational capacity. The process is expected to be completed by the end of the year.
NTPC’s long-term corporate plan envisages achieving a target of 32 GW renewable energy capacity, which would comprise around 25 per cent of its total capacity at that time. Currently, the company has green energy assets worth around 2.29 GW under construction and choosing to go for acquisitions is another route to beefing up clean energy capacities. NTPC plans to utilise capital expenditure to the tune of Rs 21,000 crore this fiscal year.