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The Indian Railways, through its subsidiary Railways Energy Management Company Limited (REMCL), has allocated 960 megawatts of renewable energy capacity to four companies. The tender requires the winners to supply round-the-clock renewable power to Indian Railways.
Winning Companies & Tariff Rates
NTPC Renewable Energy, a subsidiary of India's largest power generation company NTPC, secured 500 megawatts, while Anaya Renewables won 500 megawatts and Sprng Energy secured 100 megawatts. O2 Power was awarded 60 megawatts. The project tariff rates range from Rs 3.99 to Rs 4.27 per kilowatt-hour.
Tender Conditions
Developers are required to set up new projects and cannot supply power from commissioned projects. The tender conditions stipulate that the projects must have a minimum availability of 75% capacity during the first four years and a minimum of 5% from the fifth year onward. Developers can either set up their own storage capacity or contract it from other entities, and supply from storage capacity will count towards their obligation under the tender. However, the storage capacity must be charged using renewable power.
Requirements for Modules & Turbines
The tender conditions also require developers to use modules listed in the Approved List of Models and Manufacturers issued by the Ministry of New and Renewable Energy. For wind energy projects, turbines recognized by the Ministry under the Revised list of Models and Manufacturers must be used.
Indian Railways' Pursuit of Renewable Energy
Indian Railways has been actively pursuing a goal to increase the share of renewable energy in its energy mix. It is in the process of converting most of its diesel-fired locomotives to electric locomotives and has installed rooftop solar power projects at several stations and trains to power lighting and cooling systems. According to a 2017 UNDP study, Indian Railways has the potential to set up 3.9 gigawatts of land-based solar power capacity and 1.1 gigawatts of rooftop solar power capacity, which could meet 25% of its electricity needs from renewable energy sources.