The Ministry of Power has issued a resolution notifying the Guidelines for Tariff Based Competitive Bidding Process for Procurement of Power from Grid Connected Solar PV Power Projects. The guidelines are aimed at enabling the procurement of solar power from grid-connected Solar Photovoltaic (PV) power projects through tariff-based competitive bidding. This resolution was published and comes into effect from 28th July, 2023. The key objective behind these guidelines is to reduce the overall power purchase costs for distribution licensees, which constitute the largest cost element. By introducing competitive bidding in the procurement process, the government aims to facilitate the development of power markets and subsequently lower electricity prices, leading to substantial benefits for consumers.
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