Coal India Subsidiary Issues EPC Tender for a 25 MW Solar Project in West Bengal

The last day to submit the bids is March 23, 2022


CIL Navikarniya Urja (CNUL), on behalf of Bharat Coking Coal (BCCL), has invited bids for the design, engineering, procurement, supply, construction, erection, testing, and commissioning with an associated transmission system of a 25 MW grid-connected solar project at Bhojudih Coal Washery in Purulia, West Bengal.

CNUL and BBCL are wholly owned subsidiaries of Coal India Limited. BCCL will utilize the generated power from the proposed solar project for captive consumption of the different consumer points in the state of Jharkhand, and the surplus power may be fed to the grid.

The successful bidder will have to take care of the operation and maintenance activities of the project for five years from the date of commissioning of the project.

The last day to submit the bids is March 23, 2022. The pre-bid meeting will be held on March 11, 2022.

The project’s estimated cost is ₹1.41 billion (~$18.63 million).

Bidders must submit ₹5 million (~$66,081) as an earnest money deposit. Successful bidders must also furnish 5% of the contract value as a performance bank guarantee within 21 days of the issue of the work order.

The total contract period is 2190 days, i.e., six years. The project should be commissioned within 12 months.

The bidder must submit a certificate from an enlisted practicing charted accountant stating the possession of a minimum working capital of ₹284 million (~$3.75 million) inclusive of access to lines of credit and availability of other financial resources to meet the requirements.

Successful bidders must ensure a net electrical energy guaranteed generation of 50.78 MU for the first year with allowable degradation of 0.7% in subsequent years. The successful bidder must also ensure a capacity utilization factor of 23.18% for the first year with allowable degradation of 0.7% in subsequent years.

If the bidder fails to complete the project’s work within the stipulated time, liquidated damages at 0.5% of the contract price will be levied per week of delay. This will be subject to a maximum of 10% of the total contract value.

In April 2021, Coal India formed two wholly-owned subsidiaries for undertaking solar photovoltaic manufacturing and renewable energy projects. While CIL Solar PV Limited was incorporated for manufacturing in the solar value chain (ingot-wafer-cell-module), CNUL was formed for renewable energy projects.

According to Mercom’s India Solar Tender Tracker, Coal India has so far floated tenders for 200 MW of ground-mounted solar power projects.