SECI 1 GW FDRE-RTC Tender Discovers Rs 5.25/kWh Tariff

TL;DR — SECI 1 GW FDRE-RTC Tender, August 7 2026

On August 7 2026, SECI discovered a lowest tariff of Rs 5.25/kWh in its tender to procure 1 GW of firm and dispatchable renewable energy (FDRE) on a round-the-clock (RTC) basis from ISTS-connected projects equipped with energy storage systems.
Six developers quoted Rs 5.25/kWh, sharing 770 MW: Kengeri Prime Solar (180 MW), Resolven Four Energy (150 MW), Hexa Climate Solutions (150 MW), Hero Solar Energy (120 MW), EMIF II Holding (100 MW), and Purvah Green Power (70 MW).
The remaining 230 MW went to Juniper Green Energy at Rs 5.26/kWh — a one-paisa spread indicating a highly competitive market.
The tender requires renewable energy projects backed with energy storage systems (ESS) on a build-own-operate (BOO) basis, with 25-year PPAs with SECI, which sells power to buying entities across India.
Demand Fulfilment Ratio (DFR): 90 percent peak, 80 percent off-peak (relaxable to 70 percent for two months in July-September), 90 percent annual.
This tender makes renewable energy mimic conventional thermal power plants — firm, round-the-clock power designed to meet load profiles of DISCOMs and data centres.
The bottom line: the Rs 5.25/kWh tariff is a critical benchmark for commercial and industrial solar buyers needing firm 24x7 renewable power, signaling that India's storage-backed renewables are reaching cost-competitive territory.

Key Takeaways

Lowest tariff: Rs 5.25/kWh for 770 MW across six developers; Rs 5.26/kWh for 230 MW to Juniper Green Energy
Total capacity: 1,000 MW (1 GW) FDRE on RTC basis from ISTS-connected projects with ESS
PPA tenure: 25 years with SECI; SECI sells onward to buying entities across India
DFR: 90 percent peak; 80 percent off-peak (relaxable to 70 percent for two months in July-September); 90 percent annual
Tariff spread: Just Rs 0.01/kWh between L1 and L2 — a mature, tightly priced market
Strategic purpose: Meet load profiles of DISCOMs and data centres; data centres expected to add 26 GW clean power demand by 2032 (CEA)

What Is the SECI FDRE-RTC Tender?

The Solar Energy Corporation of India (SECI) is India's primary renewable energy tendering agency under MNRE. The FDRE-RTC tender — Firm and Dispatchable Renewable Energy, Round-the-Clock — describes a renewable supply product fundamentally different from conventional solar or wind procurement.

In a conventional solar PPA, the developer generates power only when the sun shines — 6 to 7 hours per day. This intermittency creates a mismatch with 24x7 demand. DISCOMs and industrial buyers have historically bridged this gap with thermal power for baseload firmness, using renewables as a daytime supplement.

The FDRE-RTC tender inverts this model. SECI asks developers to deliver guaranteed power around the clock, backed by renewable generation plus energy storage. The developer sizes solar, wind, and battery storage so combined output meets the contracted supply obligation at every hour. This is the key innovation: the developer is responsible for firmness, not the buyer.

The August 2026 Tariff Discovery: Rs 5.25/kWh

On August 7 2026, pv magazine India reported that SECI discovered a lowest tariff of Rs 5.25/kWh in its 1 GW FDRE-RTC tender, from a competitive bidding process where developers submit their lowest viable per-unit price for firm, round-the-clock renewable energy over the 25-year PPA term.

Developer-wise Award Summary

Developer	Tariff	Capacity	Share
Kengeri Prime Solar	Rs 5.25/kWh	180 MW	18.0%
Resolven Four Energy	Rs 5.25/kWh	150 MW	15.0%
Hexa Climate Solutions	Rs 5.25/kWh	150 MW	15.0%
Hero Solar Energy	Rs 5.25/kWh	120 MW	12.0%
EMIF II Holding	Rs 5.25/kWh	100 MW	10.0%
Purvah Green Power	Rs 5.25/kWh	70 MW	7.0%
Juniper Green Energy	Rs 5.26/kWh	230 MW	23.0%
Total	Rs 5.25-5.26/kWh	1,000 MW	100%

Six independent developers all arrived at exactly Rs 5.25/kWh, suggesting high cost convergence in the storage-backed renewable energy market. When multiple bidders land on the same price, the underlying cost structure — modules, storage, balance of system, financing — has stabilized. This is a definitive signal of market maturity.

The one-paisa spread between L1 (Rs 5.25/kWh) and L2 (Rs 5.26/kWh) is remarkably tight. In Indian renewable auctions, spreads of Rs 0.10 to Rs 0.30/kWh are common. A spread of just Rs 0.01/kWh means developers compete on execution capability and scale, not price. This is the most competitive RTC tariff discovery SECI has achieved.

Tender Structure and Technical Requirements

Project Configuration

Parameter	Specification
Tender capacity	1,000 MW (1 GW) FDRE on RTC basis
Connection	ISTS-connected
Project model	Build-Own-Operate (BOO)
Energy storage	ESS — battery storage required
PPA tenure	25 years with SECI
Power off-taker	Buying entities across India
Lowest tariff	Rs 5.25/kWh (L2: Rs 5.26/kWh)

The ISTS-connected requirement means projects connect to the inter-state transmission network, exempt from state-level wheeling, transmission, and cross-subsidy surcharges. See our open access solar guide for how this interacts with state charges.

Demand Fulfilment Ratio (DFR) Requirements

Time Period	DFR Requirement	Relaxation
Peak hours	90 percent	No relaxation
Off-peak hours	80 percent	Relaxable to 70 percent for any two calendar months between July and September
Annual basis	90 percent	No relaxation

The peak-hour DFR of 90 percent is the most demanding requirement. During peak demand hours — early morning and evening — the developer must deliver at least 90 percent of contracted capacity from the renewable-plus-storage system. These are the hours when solar alone is insufficient, so the developer must rely on stored energy. The off-peak DFR of 80 percent (relaxable to 70 percent for two months during July-September) acknowledges renewable variability during the monsoon. The annual DFR of 90 percent ensures developers do not consistently under-deliver. This is a stringent framework leaving no room for intermittent delivery.

Making Renewables Behave Like Thermal Power

The core innovation of the FDRE-RTC tender is making renewable energy mimic conventional thermal power plants. A coal-fired thermal plant operates at a PLF of 60 to 85 percent, delivering firm, dispatchable power around the clock — the baseload DISCOMs and industrial consumers rely on.

Renewable energy is intermittent — the primary barrier to deeper renewable penetration. DISCOMs cannot rely on solar or wind alone, so they continue procuring thermal power for firmness.

The FDRE-RTC tender addresses this by requiring the developer to deliver power meeting the same availability standards as a thermal plant. The 90 percent peak-hour and annual DFR mean the renewable-plus-storage system must be available at least 90 percent of the time. This is the definitive shift: if renewable energy can be delivered as a firm, round-the-clock product at Rs 5.25/kWh, it becomes a direct substitute for thermal baseload — not just a daytime supplement. This is the most important outcome of the August 2026 tariff discovery.

The Data Centre and DISCOM Connection

India's Renewable Energy Secretary Santosh Kumar Sarangi told The Economic Times that this RTC tender is designed to meet the load profile of DISCOMs and data centres. According to the CEA, India's data centres are expected to add 26 GW of clean power demand by 2032. Data centres operate 24x7 and cannot rely on intermittent solar alone.

Sarangi's statement that "once price discovery is done, states can be approached for round-the-clock power" signals that the Rs 5.25/kWh tariff serves as a reference price SECI can offer to state DISCOMs and bulk buyers. SECI aggregates demand centrally, discovers a competitive price, and offers it to states — the same model used for earlier tenders, but now with a firm, round-the-clock product that replaces thermal power rather than supplementing it. This is a critical enabler for states needing baseload from renewable sources.

What Rs 5.25/kWh Means for C and I Solar Buyers

The Rs 5.25/kWh FDRE-RTC tariff is a critical benchmark for commercial and industrial solar buyers with high round-the-clock load profiles. This is the first time SECI has discovered a storage-backed RTC tariff below Rs 5.30/kWh — a definitive price reference for the Indian firm renewable energy market.

FDRE-RTC vs Solar-Only Procurement

Procurement Model	Typical Tariff (2026)	Availability	Best For
Solar-only (ISTS/OA)	Rs 2.50 to 3.50/kWh	Daytime (6-7 hrs)	Daytime-load buyers
Wind-only (OA)	Rs 3.00 to 4.00/kWh	Variable	Flexible-load buyers
FDRE-RTC (solar+storage)	Rs 5.25/kWh (SECI)	24x7, 90% DFR	Data centres, high-PLF mfg
Grid power (industrial HT)	Rs 7.00 to 12.00/kWh	24x7	Baseload reference

FDRE-RTC at Rs 5.25/kWh is more expensive than solar-only (Rs 2.50 to Rs 3.50/kWh) but significantly cheaper than industrial grid power (Rs 7.00 to Rs 12.00/kWh). The Rs 2.00 to Rs 2.75/kWh premium represents the cost of firmness — adding storage and overbuilding generation for round-the-clock delivery. This is the key trade-off: pay more for guaranteed 24x7 availability, or pay less for intermittent daytime-only power.

For a C and I buyer whose load is primarily daytime, solar-only remains more cost-effective. But for a buyer whose load runs 24x7 — a data centre, a continuous-process manufacturing plant, a cold storage facility — the FDRE-RTC tariff delivers round-the-clock renewable power well below grid tariffs.

Who Should Pay Attention

Data centre operators: With 26 GW projected clean power demand by 2032 (CEA), data centres are the primary target. The Rs 5.25/kWh tariff gives operators a concrete price point for 24x7 renewable PPAs.
Continuous-process manufacturers: Plants with high PLF — steel, cement, chemicals — can use this tariff as a benchmark for firm renewable power through group captive or third-party PPAs.
DISCOMs: State DISCOMs relying on thermal baseload can use the SECI tariff as a reference for their own RTC procurement.
C and I buyers evaluating storage: Buyers considering battery storage can use Rs 5.25/kWh as a market reference for what firm, storage-backed renewable energy costs at scale. Our solar BESS business case explores this at the behind-the-meter level.

How This Compares to Earlier SECI RTC Tenders

Earlier SECI RTC tenders (2020 to 2022) discovered Rs 3.50 to Rs 4.50/kWh, but allowed solar-wind blending without mandatory battery storage — firmness came from natural complementarity. The August 2026 tender explicitly requires ESS, making it a true 24x7 product.

The Rs 5.25/kWh tariff is higher than earlier blended RTC tariffs, reflecting battery storage costs. However, the premium is modest — roughly Rs 0.75 to Rs 1.75/kWh — and must be evaluated against the much higher firmness requirement. As storage costs decline, future FDRE-RTC tenders should discover lower tariffs. Our solar IRR methodology and solar panel ROI guides cover financial analysis for storage investments.

Frequently Asked Questions

What is the SECI 1 GW FDRE-RTC tender?

A competitive procurement to buy 1,000 MW of firm and dispatchable renewable energy on a round-the-clock basis from ISTS-connected projects with energy storage. Developers set up renewable projects backed by battery storage on a BOO basis and sign 25-year PPAs with SECI, which sells power to buying entities across India. The tender discovered Rs 5.25/kWh on August 7 2026.

What tariff was discovered in the SECI FDRE-RTC tender?

The lowest tariff was Rs 5.25/kWh, quoted by six developers sharing 770 MW: Kengeri Prime Solar (180 MW), Resolven Four Energy (150 MW), Hexa Climate Solutions (150 MW), Hero Solar Energy (120 MW), EMIF II Holding (100 MW), and Purvah Green Power (70 MW). The remaining 230 MW went to Juniper Green Energy at Rs 5.26/kWh. The one-paisa spread indicates a highly competitive market.

What are the Demand Fulfilment Ratio (DFR) requirements?

Three DFR thresholds apply. Peak hours: 90 percent of contracted capacity. Off-peak: 80 percent, relaxable to 70 percent for any two calendar months between July and September. Annual: 90 percent of contracted energy. These requirements ensure firm, round-the-clock power comparable to a thermal plant.

How does the FDRE-RTC tariff compare to solar-only procurement?

The FDRE-RTC tariff of Rs 5.25/kWh is higher than solar-only (Rs 2.50 to Rs 3.50/kWh) because it includes energy storage and generation overbuild for 24x7 delivery. However, it is significantly lower than industrial grid power (Rs 7.00 to Rs 12.00/kWh). The Rs 2.00 to Rs 2.75/kWh premium is the cost of firmness.

Why is the SECI FDRE-RTC tender important for data centres?

India's data centres are expected to add 26 GW of clean power demand by 2032 (CEA). Data centres operate 24x7 and cannot rely on intermittent solar alone. The FDRE-RTC tender is designed to meet the load profiles of data centres and DISCOMs, as stated by RE Secretary Santosh Kumar Sarangi. The Rs 5.25/kWh tariff gives operators a concrete benchmark for 24x7 renewable PPAs.

Can C and I buyers access FDRE-RTC power directly?

C and I buyers can access firm renewable power through: SECI's onward sale if their state DISCOM procures RTC power, or their own storage-coupled solar through group captive or third-party PPAs. For behind-the-meter storage, our solar BESS business case explores the economics.

What is the difference between FDRE-RTC and earlier SECI RTC tenders?

Earlier SECI RTC tenders (2020 to 2022) allowed solar-wind blending without mandatory battery storage, discovering Rs 3.50 to Rs 4.50/kWh. The August 2026 tender explicitly requires ESS, making it a true 24x7 product. The Rs 5.25/kWh tariff reflects the added cost and higher firmness of storage-backed supply with a 90 percent peak-hour DFR.

What does the Rs 5.25/kWh tariff mean for India's renewable energy transition?

The Rs 5.25/kWh tariff indicates storage-backed renewable energy is approaching cost-competitive territory with thermal baseload. If firm, round-the-clock renewable power can be delivered below the effective cost of many thermal plants and well below industrial grid tariffs, it becomes a viable direct substitute for thermal baseload. As battery storage costs decline, future FDRE-RTC tenders should discover lower tariffs. This aligns with our India solar industry outlook 2025-26.