RUVITL Seeks RERC Approval For 500 MW Medium-Term RTC Power Procurement Under Ministry of Power Guidelines In Rajasthan

Representational image. Credit: Canva

Rajasthan Urja Vikas & IT Services Limited (RUVITL) has filed a petition before the Rajasthan Electricity Regulatory Commission (RERC) seeking approval for the procurement of 500 MW of round-the-clock (RTC) power for a duration of five years. The procurement is proposed under the medium-term model based on the guidelines issued by the Ministry of Power (MoP), Government of India, dated 29th January 2019 and subsequent amendments. The power is to be procured from power stations to be set up on a Finance, Own, and Operate (FOO) basis.

This petition has been filed under Section 86(1)(b) of the Electricity Act, 2003, which empowers the State Commission to regulate power procurement by distribution licensees, including the price at which power shall be procured. The aim is to meet the power demand of the Rajasthan Discoms through reliable medium-term power sources.

The petition includes several supporting documents such as the previously granted approval by RERC dated 31st March 2023 for the same quantum of power procurement, the revised model agreement notification from MoP dated 12th May 2023, and updated bidding documents including the Request for Qualification (RfQ), Request for Proposal (RfP), and Agreement for Procurement of Power (APP) issued in December 2022. The case also refers to the Commission’s order dated 23rd August 2023, which approved proposed deviations in the standard bidding documents.

Additionally, RUVITL has submitted a copy of the Resource Adequacy Plan prepared by the Central Electricity Authority (CEA) for Rajasthan till the financial year 2031-32. This document supports the rationale behind the additional power procurement and highlights the need for medium-term power sources to maintain supply adequacy in the coming years.

The petition also includes minutes from the 34th meeting of the Empowered Approval Committee (EAC) held on 16th May 2025 and the 67th Board meeting of RUVITL, both of which approved and endorsed the proposed procurement plan.

Through this petition, RUVITL seeks the Commission’s permission to proceed with the procurement process using the standard bidding framework. It proposes to follow a competitive bidding process to ensure transparency and cost-effectiveness in finalizing power suppliers. The chosen suppliers will be required to supply RTC power based on agreed terms under the model agreement for a five-year period.

The procurement is seen as a strategic move to secure dependable power supply for Rajasthan’s distribution companies, especially in light of the growing demand and the need to balance supply with long-term commitments. RUVITL aims to ensure energy security and reduce dependence on short-term market purchases, which can often be costlier and less reliable.

The petition is currently under consideration by the RERC, and a final order will determine whether the procurement plan may move forward under the proposed terms and conditions.

 

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