Ajmer Vidyut Vitran Nigam Limited (AVVNL) filed a petition with the Rajasthan Electricity Regulatory Commission seeking approval for levelized tariffs discovered through competitive bidding under the PM-KUSUM Component-C (Feeder Level Solarization) Scheme. The tender TN-DSM-17 was floated to install grid-connected solar PV power plants that supply electricity directly to agricultural feeders. This initiative aims to reduce dependence on grid power for agricultural use, enhance rural energy security, and support the central government’s renewable energy targets.
Under the scheme guidelines, developers were selected through a transparent bidding process, and tariffs were negotiated to remain within a reasonable range. A total of 33 plants with a combined capacity of over 80 MW were finalized through this process. Bidders who quoted tariffs up to ₹2.95 per unit were generally accepted. In cases where bids were high or only one bidder existed for a particular site, counteroffers were issued, and some second-lowest (L2) bidders were given the opportunity to accept revised rates.
The final tariffs for selected projects ranged between ₹2.79 and ₹3.04 per unit. The developers also received Central Financial Assistance (CFA) of ₹1.05 crore per MW. In total, projects were distributed across several districts, including Jhunjhunu, Nagaur, Chittorgarh, Udaipur, Sikar, Shahpura, and Salumbar. The largest plant had a capacity of 3.98 MW, and many others ranged between 1.5 MW and 3.7 MW.
The petition highlighted that AVVNL had previously implemented similar projects with success. From the earlier tenders approved under PM-KUSUM Component-C, 373 solar projects totaling 850.78 MW were sanctioned. Of these, PPAs for 717.18 MW have been signed, and 42.85 MW capacity across 19 plants has already been commissioned. These efforts have contributed significantly to peak load management and reduced the dependency on central grid power in rural areas.
A pilot study conducted at the Bansur 220 kV Grid Substation showed that during peak solar hours (8 am to 4 pm), solar plants were able to meet up to 97% of the agricultural feeder demand. Even during lean seasons, the solar output effectively covered demand and shared surplus energy with adjacent feeders. This localized generation helped reduce daily demand variations and improve voltage profiles.
The Commission, after reviewing the petition and hearing the petitioner, approved the adoption of discovered tariffs for all 33 plants. It also reiterated that Discoms must conduct system studies to ensure grid stability and explore grouping multiple substations in tenders to lower tariffs. Furthermore, the use of domestically manufactured solar panels must be ensured in line with MNRE guidelines. Discoms were directed to accelerate project implementation, monitor change-in-law events, and adhere strictly to project timelines.
The Commission emphasized that proper implementation of the PM-KUSUM Component-C scheme could be a game-changer for rural energy supply and encouraged Discoms to continue pursuing this decentralized energy model in a mission mode.
