Power producers including NTPC, GMR, GVK and lanco are in the fray for second round of auction tomorrow to bag the Rs2,600 crore government subsidy for buying expensive imported lNG for their idle plants.
“GMR, GVK, NTPC and lanco were among the companies that submitted bids earlier this month to be qualified for the second phase of auction of financial assistance of Rs2,600 crore under Power System Development Fund set up by the Government,” a source said.
The names of the qualified bidders on the basis of technical bids will be announced tomorrow, two hours before the auction begins at 11.00 am, the source added.
“The maximum bidding price under the reverse auction has been fixed at Rs4.7 per unit for stranded gas based plant (SGP) and Rs3.39 per unit for domestic gas plants (DGP),” the source said, adding that the firms will bid for a total of 15 Million Metric Standard Cubic Meter Per Day (MMSCMD).
Power Ministry had invited technical bids to undertake the reverse auction of the PSDF support to eligible gas-based power plants for a period from October 1, 2015 to March 31, 2016, as per the tender.
Under the plan, liquefied natural gas (lNG) will be imported and cash-strapped state power distribution companies will be financially supported to buy electricity from them.