Govt. to go ahead with reverse auction for solar and wind hybrid tender, will see only two bidders

The government is reportedly planning to go ahead with the reverse auction for its solar and wind hybrid tender. According to report only two bidders, Adani Green Energy and SB Energy will be competing for a cumulative capacity of 840 MW.

Anand Kumar, secretary at the ministry of new and renewable energy (MNRE), speaking to ET said “We will go for the reverse auction between the two bidders,” he added “The capacity for reverse auction will be reduced by 20% of what has been subscribed.”

The hybrid tender received tepid response from the industry. Only Adani Green Energy and SB Energy submitted bids on November 20. The publication notes that with only two players in the picture, there are fears that the bids received during reverse auctions would not be competitive.

Kumar further added that  “If we receive reasonable bids, we will go ahead with awarding the capacity. Otherwise we can cancel them.”

SECI had already clarified in the bid document that 80% of the bids received will be put up for reverse auction in case the tender was not fully subscribed. The solar and wind hybrid tender was floated in May this year for a capacity of 2,500 MW, but has since been scaled down to 1,200 MW.