Nepal Invites Bids to Procure 100 MW of Solar Power

The last day to submit the bids is February 26, 2023


Nepal Electricity Authority (NEA) has invited bids to develop 100 MW solar projects in Nepal.

The last day to submit the bids is February 26, 2023. The bids will be opened on the same day.

NEA has set a benchmark tariff of NPR5.94 (~$0.028)/kWh. The power produced from the projects will be purchased by NEA.

The cost of the bidding document is set at NPR10,000 (~$75). Bidders must submit a bid security amount of NPR400,000 (~$3,019)/ MW.

Selected bidders are required to furnish a performance security amount of NPR600,000 (~$4,529) /MW within 28 days of the issuance of the work order.

The projects must be commissioned within 18 months of signing the power purchase agreement (PPA).

The developer will be eligible to declare partial commissioning if it can commission at least 50% of the PPA capacity.

Further, the eligible bidders should have experience in developing and commissioning grid-connected solar power projects of at least 1 MW capacity or 5 MW grid-connected power projects other than solar projects.

They should have a survey license for generation or a generation license issued by the Department of Electricity Development to develop solar power projects in Nepal.

Bidders must also have evidence of the availability of land equivalent to at least 0.25 hectares per MW for project development.

Bidders are required to deploy commercially established technology wherein at least one grid-connected project successfully operational the proposed technology for at least one year. They must use either crystalline silicon modules or thin-film modules.

Bidders can bid at least 1 MW at a delivery point.

The developer must lay 11 kV or above the transmission line from the project’s Substation to NEA’s substation. The land necessary for the project’s development will be the developer’s sole responsibility

The developer must make arrangements to evacuate energy generated to the NEA substations through dedicated transmission lines connected to the respective substations’ high voltage or low voltage side (>=11 kV). The developer should also arrange the land for the line’s right of way.

In case any extra land is required for equipment installation, or any other associated works related to the solar project at NEA’s substation, the developer must make the necessary arrangement to obtain the extra land.

Earlier, India had imposed restrictions on bidders from countries that share a land border with India. The amendments have been made keeping in mind the national security of the country. Nepal is one of the seven neighboring countries which shares land borders with India.