GUVNL Locks 5,217 MW at Avg. ₹5.34/kWh for Winter
GUVNL secures 5,217 MW for the Oct 2026–Mar 2027 winter via competitive bidding, with monthly tariffs ranging from ₹4.92 to ₹5.72 per kWh.
Key points
- GUVNL procures 5,217 MW for Oct 2026–Mar 2027 to cover winter peak deficits of up to 5,115 MW.
- Tariffs range from ₹4.92/kWh in December to ₹5.72/kWh in March, below ₹6–₹7/kWh seen in other states.
- GERC approved the plan on Sept 17, 2026, confirming compliance with competitive procurement guidelines.
GUVNL has secured 5,217 MW of short-term power for the winter season from October 1, 2026, to March 31, 2027. The arrangement addresses projected peak supply deficits and was approved by the Gujarat Electricity Regulatory Commission (GERC) following a competitive bidding process.
Procurement was executed via the DEEP e-bidding portal to mitigate volatility in electricity exchange prices and rising international fuel costs. The company aims to bridge the gap between its existing capacity and the state’s projected peak demand during the winter months.
Deficits Drive Need for Firm Power
GUVNL projects peak electricity demand between 18,700 MW and 24,350 MW during the period. Against this, the state faces peak supply deficits ranging from 1,467 MW to 5,115 MW. GUVNL currently holds approximately 21,633 MW of conventional capacity and 17,686 MW from renewable sources.
The intermittent nature of renewable generation necessitates additional firm power capacity to ensure grid stability during peak demand periods. The bulk procurement covers the requirements of Gujarat’s four distribution companies, ensuring a steady supply despite variable renewable output.
Bidding Process Yields Competitive Tariffs
Following an e-tender issued on July 29, 2026, GUVNL received technical bids from 10 entities representing 27 generating sources. All bidders were declared technically qualified. Financial bids were opened in a reverse auction on August 6, 2026, where shortlisted traders reduced their offers to match the lowest discovered tariffs.
Successful trading entities included PTC India, Jindal Power, Tata Power Trading, and NTPC Vidyut Vyapar Nigam. GUVNL noted that the discovered tariffs are below the ₹6–₹7 per kWh rates observed in similar tenders in other states, indicating a cost-effective procurement outcome.
Regulatory Approval Confirms Compliance
In its September 17, 2026 order, GERC concluded that GUVNL adhered to competitive procurement rules under Sections 63 and 86(1)(b) of the Electricity Act, 2003. The Commission adopted the discovered tariffs, formally approving the six-month power arrangement.
Specific monthly allocations include 1,200 MW at ₹5.68/kWh for October 2026, and 890 MW to 940 MW at ₹4.94/kWh for November. December sees 500 MW at ₹4.92/kWh, while January 2027 is set at 500 MW for ₹5.25/kWh. February and March allocations are 500 MW at ₹5.47/kWh and 637 MW at ₹5.72/kWh, respectively. This data is sourced from SolarQuarter.
