Reliance Infrastructure led BSES discoms have inked Power Sale Agreements (PSA) with SECI (Solar Energy Corporation of India) to procure 510 MW of solar and bundled hybrid power. Of the total quantum of 510 MW, 300 MW is solar power and 210 MW hybrid power.
With this, Reliance Infrastructure led BSES discoms have become the first discom in Delhi and among only a handful in the country to procure hybrid power. Hybrid power is a bundled mix of solar and wind power, wherein one component is at least 33% of the contracted capacity. Moreover, in hybrid power, both the sources of power are co-located at the same location and the pooled power is injected into the electricity system at the same point.
One of the biggest advantages of hybrid power is optimum cost utilization of the power evacuation network and loading of the transmission lines as solar power is primarily a day phenomenon and wind, round-the-clock.
Inked for a period of 25 years, the solar and hybrid power is expected to be available to Reliance Infrastructure led BSES discoms 18 months after signing of the agreement at a very competitive tariff of INR 2.44 per unit for solar and INR 2.48 per unit for hybrid (including SECI’s trading margin), determined through an e auction.
This is not only one of the lowest tariffs for renewable power, but are also priced substantially lower than the average cost of power purchase agreements, which are around INR 5.5 per unit.
Moreover, this agreement will help Reliance Infrastructure led BSES discoms to fulfil their Renewable Purchase Obligations (RPO) as well. Another major benefit is that a prudent mix of wind and solar power in Reliance Infrastructure led BSES’ power portfolio will be helpful in effectively meeting Delhi’s peak power demand.
It is pertinent to note that Delhi experiences peak power demand twice in a 24-hour period. While solar power will help the discom meet the day peak, the wind-power sourced from the coastal areas is expected to support the night peak demand. Moreover, the supply of bundled solar and wind power will lessen the variations in scheduling power in comparison to a contract for pure wind power.
On its part, SECI has signed back to back PPAs with power developers, identified thorough a competitive bidding process. SECI will act as an intermediary procurer under the guidelines for tariff based competitive bidding process for procurement of power from grid connected solar and hybrid power projects. BSES will get 510 MW from the pooled capacities.
