Gujarat Urja Vikas Nigam Ltd (GUVNL) has scrapped the bids received from four power companies for power supply on a long-term basis, citing higher rates.
Four companies — Adani Power, Essar Power, PTC India, and Reliance Power -- had submitted the bids for a total of 1,900 MW in response to GUVNL's invitation for supply of 2,000 MW power on long-term basis.
Adani Power had quoted the lowest rate of Rs 3.25 per unit, followed by Reliance Energy with a rate of Rs 3.42 per unit. Essar and PTC had quoted Rs 3.43 and Rs 3.50 per unit, respectively.
Adani had submitted a bid for highest 1,000 mw. Among others, Essar for 600 mw, PTC for 200 mw and Reliance for 100 mw.
GUVNL had invited proposals from power generators, traders and companies in August 2007 to supply 2000 mw of power to the state run company on a long term basis through competitive bidding. It may be mentioned here that out of the 19 selected power companies, only four submitted their technical and financial bids to supply power to GUVNL on long term basis.
"The bids we received and disclosed had quoted very high rates for power, which is not affordable for long-term purchase so we decided to scrap the bids," said L Chuaungo, managing director, GUVNL.
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He added that rates quoted by the companies in the bids were "too expensive to be acceptable" to the state government. However, when asked whether fresh bids would be invited, he said that no decision was taken regarding floating of fresh bids for the same.
(with inputs from BS Reporter)