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The Central Electricity Regulatory Commission, in an order dated December 18, 2025, has approved the adoption of a tariff for 300 MW of wind power projects selected under the Tranche XVIII competitive bidding process. The petition was filed by the Solar Energy Corporation of India Limited, which acted as the intermediary procurer for the projects. These wind power projects are connected to the Inter-State Transmission System and were developed through a tariff-based competitive bidding mechanism.
The bidding process was initiated in March 2025 with an initial capacity of 600 MW. SECI invited bids in line with the applicable government guidelines to ensure transparency and competition. After the completion of the technical evaluation, an e-reverse auction was conducted in May 2025 to discover the final tariff. Torrent Green Energy Private Limited emerged as the successful bidder in the auction process.
The final discovered tariff for the selected capacity was ₹3.97 per kWh. This tariff will remain fixed for the entire duration of the Power Purchase Agreement, which is set for a period of 25 years. The commission noted that the tariff was discovered through a competitive and transparent process and was in accordance with the prevailing market conditions for wind power projects connected to the ISTS.
Although the tender was issued for a total capacity of 600 MW, only 300 MW was finally awarded. The commission examined this issue in detail while reviewing the petition. As per the standard bidding guidelines, a single bidder is allowed to be awarded a maximum of 50 percent of the total capacity mentioned in the Request for Selection. In this case, two bidders were technically qualified and together had offered a total capacity of 400 MW. However, due to the 50 percent cap, the maximum capacity that could be awarded to a single bidder was restricted.
Torrent Green Energy was awarded 300 MW, which was its maximum eligible capacity under the guidelines. The remaining 20 MW could not be allocated to the second bidder because it did not meet the minimum project size requirement of 50 MW applicable for ISTS-connected wind power projects. As a result, only 300 MW out of the originally tendered 600 MW capacity was awarded under this tranche.
The electricity generated from these wind power projects will be supplied to Bihar State Power (Holding) Company Limited on behalf of its distribution companies. These include North Bihar Power Distribution Company Limited and South Bihar Power Distribution Company Limited. SECI entered into a Power Sale Agreement with BSPHCL and its distribution licensees on October 3, 2025, to facilitate the sale of power from these projects.
Another important aspect considered by the commission was the trading margin to be charged by SECI. The commission approved a trading margin of ₹0.07 per kWh, as agreed between the parties in the Power Sale Agreement. However, this approval is subject to a condition. If SECI fails to provide the required payment security mechanism to the wind power generators, such as an escrow arrangement or an irrevocable revolving letter of credit, the trading margin will be limited to ₹0.02 per kWh in line with the existing Trading Licence Regulations.
After examining all aspects of the bidding process, the commission concluded that SECI had followed the applicable government guidelines. It was observed that the process ensured transparency, competitive tariff discovery, and protection of consumer interest, while also supporting the fulfillment of renewable purchase obligations.
