The Gujarat Electricity Regulatory Commission (GERC) has approved power purchase agreements (PPAs) for 1 GW of grid-connected solar photovoltaic (PV) projects which were tendered and auctioned by the Gujarat Urja Vikas Nigam Limited (GUVNL).
Back in September 2018, GUVNL had auctioned 500 MW of grid-connected solar PV projects in which the lowest (L1) tariff was ₹2.44 (~$0.0338)/kWh. The winners in the auction were Aditya Birla, Avaada, and Azure.
Then in February 2019, GUVNL had auctioned 500 MW of grid-connected solar PV power projects under phase IV of Gujarat State Solar PV program. In that auction, the tariffs discovered were in the range of ₹2.55 (~$0.035)/kWh to ₹2.68 (~$0.037)/kWh. In this auction, UPC Renewables, GSECL, Juniper Green Energy, Adani Green Energy, and ReNew Power emerged as the winners.
After the completion of these auctions, the GUVNL had requested the state commission to approve the tariffs and PPAs. Through this order, the GERC has approved both the petitions.
While going through the submissions made by the GUVNL in both the petitions, the commission acknowledged Government of India’s target of achieving 175 GW of renewable energy by the year 2022. In line with this mission, it noted that it is necessary for the distribution companies not only to procure power from renewable sources through competitive bidding process but also to ensure that the tied up renewable energy projects are completed on time as noted in the PPAs.