The Uttar Pradesh Electricity Regulatory Commission (UPERC) recently reviewed a petition from NIDP Developers Pvt. Ltd., seeking approval for a Power Purchase Agreement (PPA) and tariff for the procurement of 5 MW of Round Clock (RTC) renewable power. NIDP, a company involved in developing and managing data centers and infrastructure, also requested approval to purchase any additional power it may need through power exchanges for load management.
NIDP holds a distribution license from the Commission, meaning it is responsible for meeting the power needs of consumers in its service area. To fulfill this responsibility, the company aims to secure power at competitive and reasonable rates. Previously, NIDP had signed a PPA with M/s. DCM Shriram Ltd. for the procurement of 5MW of RTC power. However, as the term of the agreement was coming to an end, NIDP sought to explore short-term options for power procurement.
To meet its future power needs, NIDP initiated a Request for Proposal (RFP) for 5MW of Firm/RTC Renewable Energy. The procurement process was based on a tariff-based Competitive Bidding (TBCB) method, and the RFP was made available to bidders through the DEEP portal, in line with the short-term bidding guidelines issued by the Ministry of Power. The bidding process consisted of several stages, including the submission and opening of technical and financial bids, clarifications from the bidders, and an e-reverse auction.
Following the evaluation of the bids, the Tender Evaluation Committee (TEC) shortlisted three bidders who qualified to participate in the financial bid opening and the e-reverse auction. After the auction, Kreate Energy (I) Pvt. Ltd. emerged as the successful bidder for the 5MW RTC power requirement.
The UPERC, in its order, approved the tariff of ₹5.95/kWh for the procurement of 5 MW of bagasse-based RTC power from May 1, 2025, to July 31, 2025. The Commission also approved the PPA dated March 4, 2025, between NIDP Developers Pvt. Ltd. and M/s. Kreate Energy (I) Pvt. Ltd. In addition, the Commission granted NIDP’s request to procure any deficit power, if required, through the power exchange route. However, the procurement through power exchanges would have a trading margin ceiling of 2 paise/unit.
This decision by the UPERC marks a significant step in ensuring that NIDP can meet its energy demands cost-effectively and sustainably. The approval of the tariff and PPA provides the company with a clear framework to proceed with its renewable energy procurement for the upcoming period. Furthermore, the ability to procure additional power from power exchanges ensures that NIDP can manage its energy requirements effectively, especially during times when its primary source may not fully meet the demand.
As the renewable energy sector continues to grow in India, such steps by regulatory bodies like UPERC are crucial in promoting clean energy while also supporting the energy needs of companies and consumers. The approval of the PPA with Kreate Energy is a reflection of the increasing interest in renewable energy projects and the importance of such initiatives in contributing to the country’s energy transition. The agreement will not only benefit NIDP but will also support the broader goals of sustainable power procurement and energy security in Uttar Pradesh.
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