The Power Ministry has launched a scheme for the procurement of aggregate electricity of 4,500 MW for five years under of the SHAKTI (Scheme for Harnessing and Allocating Koyala Transparently in India) policy.

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"Ministry of Power kicks off a scheme for procurement of aggregate power of 4500 MW on competitive basis for five years on Finance, Own and Operate (FOO) basis under B (v) of SHAKTI Policy," a power ministry release said.

PFC Consulting Ltd, a wholly-owned subsidiary of PFC Ltd, has been designated as the nodal agency by the Ministry of Power.

Under the scheme, the PFC Consulting Ltd has invited bids for the supply of 4,500 MW. The supply of electricity will commence from April 2023. The Ministry of Coal has been requested to allocate around 27 MTPA for this, it stated.

The utilities that have evinced interest for the scheme are Gujarat Urja Vikas Nigam Ltd, Maharashtra State Electricity Distribution Company Ltd, Madhya Pradesh Power Management

Company Ltd, New Delhi Municipal Corporation and Tamil Nadu Generation and Distribution Corporation Ltd. The last date for the bid submission is December 21, 2022, it stated.

It is for the first time that bidding is being carried out under B(v) of Shakti scheme. Also, revised PPA (power purchase agreement) for medium term is being used in this bidding.

This scheme is expected to help the states that are facing power shortage and also help generation plants to increase their capacities, it added.

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