First round of auction under SHAKTI witnesses significant participation

The first round of the coal linkage auction under the Scheme for Harnessing and Allocating Koyla Transparently in India (SHAKTI) witnessed bidding by 10 independent power producers (IPPs) with a capacity totalling 9 GW. Players including Adani Power Limited, GVK Power and Infrastructure Limited, Bajaj Hindusthan Limited, GMR Energy Limited and Reliance Power Limited took part in the auction. These companies have plants with power purchase agreements (PPAs) with discoms but lack a steady coal linkage. A discount in power tariffs in the range of 1-4 paise per unit were reportedly offered by the bidders.