India's largest energy group, India's National Thermal Power Company (BOM: 532555), is buying biomass pellets for the 2,650-megawatt Dadri Thermal Power Plant (TPP) in Uttar Pradesh in an amount of 1,000 tons a day.
NTPC said on Thursday that the tender was split into two parts: 500 tonnes of particles from agricultural residues per day and 500 tonnes of particles or briquettes from dry agricultural residues per day. The entire delivery period is two years.
The successful bidder will be eligible to supply fuel from September 2018.
NTPC has set a ceiling price of 5,500 Indian Rupees ($ 85.5 / € 69.7) per tonne of agricultural residue particles and dry agricultural residues are capped at an INR 6,600 / tonne Irrespective of whether there is any bidding experience, the competitive process for all Bidders are open.
The Dudley complex in the Indian Capital region consists of a coal-fired cogeneration plant and a gas facility with capacities of 1,820 megawatts and 817 megawatts respectively, and a 5 megawatt photovoltaic plant is also part of the power generation complex.
This bid is in line with NTPC's efforts to fight air pollution and provide alternative fuels, and the company explained that agricultural waste-based fuels would be combusted with coal, which is more efficient than coal alone.
