Madhya Pradesh Issues Tender for 1500 MW Solar Projects Under PM KUSUM-C

Madhya Pradesh Urja Vikas Nigam Ltd. (MPUVNL) has issued a tender for 1500 MW of grid-connected solar power under the PM KUSUM-C scheme, aiming to solarise agricultural feeders and ensure reliable power for rural areas.

Successful bidders will sign a 25-year Power Purchase Agreement (PPA) with Madhya Pradesh Power Management Company Ltd. (MPPMCL) to supply solar power to designated substations.

Key dates for the tender include a pre-bid meeting on February 24, 2025, the bid submission deadline on March 31, 2025, and the opening of technical bids on April 7, 2025, followed by financial bids on April 17, 2025.

The bid processing fee is INR 5,000 plus 18 percent GST (INR 5,900) per MW. Additionally, bidders must pay the e-tendering portal registration fee of INR 7,000 plus 18 percent GST and a bid participation fee of INR 12,000 plus 18 percent GST per sealed bid. There are no exemptions from bid processing and e-tendering fees for any organisations, including MSMEs or government entities.

The tender allows participation through two modes—Self-Development Mode and Developer Mode. Under Self-Development Mode, individual farmers, cooperatives, panchayats, Farmer Producer Organisations (FPOs), Water User Associations (WUAs), and agricultural institutions are eligible to bid.

These bidders must own the project land at the time of submission but are exempt from financial eligibility requirements. In Developer Mode, eligible participants include companies incorporated under the Companies Act, 1956 or 2013, partnership firms, Limited Liability Partnerships (LLPs), and registered sole proprietors. Bidders can also form joint ventures (JVs) or consortiums with up to two members. At least one entity must meet the financial eligibility of INR 1 crore per MW, as per the latest FY 2023-24 audited financials.

All bidders must secure private land as no government land will be provided. Bidders will also be responsible for connecting the solar plants to the grid. If a consortium or JV is awarded the project, a Project Company or Special Purpose Vehicle (SPV) must be formed within 60 days of receiving the Letter of Award (LOA) to execute the PPA.

Bidders must retain a 51 percent equity stake in the Project Company for one year from the Commercial Operation Date (COD), ensuring long-term project stability. The project mandates the use of indigenously manufactured solar modules, cells, and Balance of System (BOS) components in compliance with MNRE guidelines. The initiative also qualifies for Central Financial Assistance (CFA), disbursed upon achieving project milestones.