An ISTS scheme in Rajasthan, originally to be developed under the TBCB route, will now see adoption of the RTM modality, thanks to lack of bidder response despite multiple extensions in bid submission date.
In its latest meeting, National Committee on Transmission (NCT) ruled that the ISTS-TBCB scheme called “Transmission system strengthening to facilitate evacuation of power from Bhadla/Bikaner complex” coming up in Rajasthan will now be implemented under the regulated tariff mechanism (RTM) mode by Power Grid Corporation of India Ltd.
The tendering process for this scheme had begun under the tariff-based competitive bidding (TBCB) mechanism on August 1, 2024 with PFC Consulting Ltd (PFCCL) as the bid process coordinator.
Despite multiple extensions to the bid submission date – the last being October 30, 2024 – only one bid, that of Power Grid Corporation of India Ltd (PGCIL), was received. The project was housed under “Bhadla and Bikaner Complex Transmission Ltd” – a wholly-owned subsidiary of PFCCL.
PFCCL decided not to proceed with the bidding process and referred the matter to the Union power ministry, which in turn, sought the intervention of National Committee on Transmission (NCT).
After deliberations, NCT ruled that the scheme be de-notified from the TBCB mechanism and be pursued under the RTM framework with PGCIL as the developer.
As reported by T&D India on November 29, 2024, NCT has proposed a new working rule to deal with ISTS-TBCB schemes that attract only one bid or no bids at all. A key feature of the new working rule was adoption of RTM route if no bid or single bid is received despite extensions to bid submission deadlines.
Critical project
The Bhadla-Bikaner ISTS scheme, which will now come up under the RTM modality, is a relatively small scheme (estimated cost: Rs.198.75 crore; gestation: 18 months) but is critical as it will be operating in conjunction with two other related ISTS schemes, already in construction. Delay in this scheme could adversely impact the evacuation of about 2.5 GW of RE power from the Bhadla/Bikaner complex in Rajasthan.
RTM likely for Bhuj-II project also
While there is no official confirmation, it is likely that another ISTS-TBCB scheme facing poor bidder response might be consigned to the RTM route. This Gujarat-based scheme, termed as “Augmentation of transformation capacity at Bhuj-II PS (GIS)” is similarly stranded with PGCIL as the lone bidder. It is learnt that the matter is currently under the Union power ministry’s review and that NCT is expected to deliver its verdict in its ensuing meeting.
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