REC Subsidiary Invites Bids to Evacuate 5.5 GW of Renewable Power in Rajasthan
The last date for the submission of bids is December 1, 2023
REC Power Development and Consultancy (RECPDCL), a fully-owned subsidiary of REC, has issued a tender to select a transmission service provider (TSP) to establish an Inter-State Transmission System (ISTS) for evacuating 5.5 GW power from the Rajasthan Renewable Energy Zone (REZ) Phase IV.
The last date for the submission of bids is December 1, 2023. Bids will be opened the same day.
The project must be completed within 24 months.
The selected bidder must furnish a performance bank guarantee of ₹890 million (~$10.6 million) within ten days from the issuance of the Letter of Intent.
The TSP is responsible for ensuring that the design, construction, and testing of project equipment, facilities, components, and systems comply with the Transmission Service Agreement and government regulations.
The TSP must acquire a transmission license. After 35 years from the project’s commissioning, the TSP must facilitate the transfer of all project assets, including substation land, right of way, and clearances, to the Central Transmission Utility (CTU) or its designated successors.
The government will determine the specific agency for this transfer.
The designated ISTS customers must pay the transmission charges through the CTU, following the regulations of the Central Electricity Regulatory Commission governing the sharing of Inter-State Transmission Charges and Losses.
Bidders are required to meet one of the following technical criteria:
Experience in Infrastructure Project Development:
- Bidders must have a track record of developing projects in the infrastructure sector over the last five years.
- The aggregate capital expenditure for all projects should be at least ₹17.8 billion (~$213.8 million).
- Each individual project’s capital expenditure should not be less than ₹3.56 billion (~$42.7 million)
Experience in Infrastructure Project Construction:
- Bidders should have received cumulative payments of not less than ₹17.8 billion (~$213.8 million) from its client(s) for fully completed construction works in the infrastructure sector during the last five financial years.
- Payments received from each project should not be less than ₹3.56 billion (~$42.7 million)
Their net worth should be a minimum of ₹7.12 billion (~$85.5 million) for any of the last three financial years, and the net worth should not be negative during this period.
The selected bidder must maintain a minimum equity shareholding of 51% in the issued and paid-up equity share capital of Rajasthan IV H1 Power Transmission Limited for one year after the Commercial Operation Date of the project.
Recently, RECPDCL floated two tenders to establish an inter-state transmission system to evacuate a cumulative 11 GW of power from renewable energy zones in Rajasthan under Phase – IV.
In May, REC listed its recently issued green bonds, which raised $750 million under its global medium-term $7 billion program at the GIFT International Financial Services Centre Stock Exchanges in Gandhinagar.