Advisory: allow at least 60 months to build new thermal plants procured under DBFOO bids
The Ministry of Power has advised states and discoms buying power long-term from new thermal plants under the DBFOO model to set realistic construction timelines, preferably at least 60 months from the appointed date, and to align delivery dates with their resource adequacy plans.
Why it matters. Unrealistic dates in the current wave of state thermal tenders risk delays and disputes; longer timelines change bid economics and when new coal capacity actually arrives.
What changes
- Delivery and commissioning dates in new thermal bids should match the procurer's resource adequacy plan.
- Construction and commissioning period should preferably be at least 60 months from the appointed date.
- Procurers should account for domestic manufacturing and supply-chain limits on boiler, turbine and generator (BTG) equipment.
- The ministry notes that several recent bids set timelines that do not match state plans or are hard to meet.
- The delivery timeline in the model RfQ and RfP is project-specific, and procurers may change it when issuing bids.
Who is affected
Discoms · State governments · Thermal developers · BTG manufacturers
Sources
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