SECI to conduct much-awaited auction for 1GW of wind power contracts next week

SECI is reportedly gearing up to conduct the much-awaited auction to award 1 gigawatt (GW) of wind power contracts next Tuesday.

Livemint reports that the auction to be conducted by state-run SECI comes in the backdrop of India’s wind sector transitioning from a feed-in tariff regime to tariff-based competitive auctions.

While feed-in tariffs ensure a fixed price for wind power producers, the February auction conducted by SECI saw wind power tariffs in India following the solar route and hit a record low of Rs3.46 per kilowatt hour (kWh) for another 1GW tender.

This, in turn, caused disruptions with some states looking to renege on their offtake commitments for projects awarded at a comparatively higher tariff.

“The reverse auction will begin at 2pm on 19 September. We are expecting a good response,” said a person associated with the auction process to the publication.