How RPSCL’s 310,000 MT Biomass Pellet Tender is Creating a New Business Opportunity
India's Clean Energy Mission is Creating Bigger Opportunities for the Biomass Industry
The biomass sector has received another major boost with Rosa Power Supply Company Limited (RPSCL), a wholly owned subsidiary of Reliance Power Limited, inviting bids for the procurement of 310,000 MT of Agro-Residue Based Non-Torrefied Biomass Pellets for FY 2026-27.
Designed for biomass co-firing at its 1,200 MW thermal power plant in Shahjahanpur, Uttar Pradesh, this procurement is more than a routine tender. It reflects the growing commitment of India’s power sector to reduce coal dependency, encourage sustainable fuel alternatives, and build a stronger biomass supply ecosystem.
For pellet manufacturers, aggregators, and agri-residue suppliers, this is one of the significant procurement opportunities currently available in the market.
Bid Submission Deadline: 17 August 2026 | 11:59 PM
1. Who Can Apply
- Only Pellet Manufacturers and Pellet Traders/Aggregators are eligible to participate.
- Individual applicants must be at least 18 years of age.
- Eligible entity types: Indian nationals; Company / Sole Proprietorship / Partnership / LLP / Consortium / Cooperative Society registered in India; NRIs / PIOs; or MNCs / Overseas Corporate Bodies with a registered office in India.
2. Basic Eligibility Conditions
Technical Criteria:
- Must have supplied ≥5,000 MT of biomass pellets in any continuous 12 months (365 days) — in one or multiple contracts — during the preceding 3 financial years plus the current FY (as on last date of techno-commercial bid opening).
- Supporting documents (POs/Work Orders/Contract Agreements + supply certification) must be certified by an Independent Statutory Auditor (for companies) or a Third-Party Inspection Agency (TPIA).
Financial Criteria: - Average annual turnover (last 3 FY, ending 31 March 2026) must be ≥ ₹2 crore (excl. GST); relaxed to ≥ ₹1 crore for MSEs and all start-ups.
- Must submit Certificate of Incorporation/Registration, PAN/GST copies, audited financials for 3 years (or CA/Cost-Accountant certified statements if audited results are unavailable), and supply orders with completion certificates.
- Other income is excluded from turnover computation.
3. Tender Timeline
4. Technical Specification of Pellets
Minimum 50% raw material must be paddy straw/stubble/crop residue, sourced exclusively from NCR and Adjoining Areas — mandatory, with proof from a nominated authority required before delivery starts.
Additives/binders such as press mud, poultry farm waste, municipal solid waste, or animal dung are strictly prohibited.
5. EMD (Earnest Money Deposit)
- No EMD / bid security is prescribed in this tender.
- Instead, the successful bidder must furnish a Contract Performance Bank Guarantee of 10% of Contract Price (inclusive of taxes & duties), within 15 days of PO/Letter of Award issuance — valid for 365 days from expiry of the contract obligations.
6. Price Bid
- Ministry of Power benchmark price for non-torrefied biomass pellets in NCR: ₹2.32 / 1000 Kcal (excl. GST and transportation, at the pellet manufacturing plant).
- Quoted price must not exceed the benchmark price — bids above benchmark are treated as non-responsive and liable to be rejected.
- Price Bid to be submitted in Annexure-2; validity of quoted price is 3 months from date of bid submission.
- Price Bids of only technically qualified bidders are opened. Shortlisted bidders undergo price negotiation; quantity is allocated on a cascading L1→L2→L3… basis, with each subsequent bidder invited to match the L1 price.
7. Quantity That Can Be Offered
- Total tender quantity: 310,000 MT
- Per-bidder allocation cap for FY 2026-27: Maximum 50,000 MT, Minimum 20,000 MT
- RPSCL may split the contracted quantity across two or more successful bidders, at its sole discretion.
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