GSECL Invites Tenders for Biomass Pellet Supply to Thermal Power Plants

Gujarat State Electricity Corporation Limited (GSECL) has opened a new business opportunity for biomass suppliers by inviting online tenders for the supply of biomass pellets to its coal-based thermal power stations. The procurement will be done exclusively through the GeM (Government e-Marketplace) portal—India’s official platform for government purchases.

Last Date: 3rd June 2025 13:00 PM

Eligibility Norms:

Only pellets manufactures shall be allowed to participate in tender.
Pellet Manufacturing Plant of the Bidder shall be situated in the State of Gujarat
The Average Annual Turnover of the bidder, shall not be less than an amount equivalent to Rs 2800 multiply by the total quoted quantity by bidder, during the preceding three (3) financial years.
Net worth of bidder shall not be less than 100% of the bidders paid up share capital as on the last day of the preceding financial year. For individual it should not be less than 75%.

Plant Location:

The maximum estimated tender quantity for supply of Agro residue based Biomass Pellets at Ukai, Wanakbori, Gandhinagar and Bhavnagar thermal power stations of GSECL is as below.

Name of TPS	Ukai	Wanakbori	Gandhinagar	Bhavnagar	Total
Biomass requirement in MT	40,150	73,000	21,900	21,900	1,56,950

Key Highlights :

Bidding Flexibility: Bidders can bid for one or more of the four GSECL power stations (Okai, Wanakbori, Gandhinagar, Bhavnagar).
Document Submission: Documents submitted for one station can be used for other stations in the same bid.
Base GCV Fixed: Base GCV (ARB) is fixed at 3400 Kcal/kg for the full contract period.
Minimum Bid Quantity: 7300 MT per power station (equivalent to 20 MT per day for 365 days).
Award Discretion: GSECL may award less than 7300 MT depending on need.
Manufacturing Capacity Proof: To be certified by a Chartered Accountant based on 10-hour daily operations.
Contract Period: One year from purchase order date; extendable by 6 months under specific conditions.
Landed Price Evaluation: Pricing to be evaluated on landed price basis per 1000 kcal including GST.

Additional Key Terms & Conditions:

Reverse Auction Process: Reverse auction will be conducted; top 3 eligible bidders or 50% of total eligible bidders (whichever is higher) will be invited.
Cost Cap Restrictions: Manufacturing cost must not exceed ₹2.24/1000 Kcal; transportation charges capped at ₹4.0/MT/KM.
Auction Failure Clause: If no bids are received during the auction, GSECL will process the tender using bid prices received in e-tendering.
Quantity Allocation to L2, L3… Ln: If L1 bidder offers less than full quantity, remaining quantity can be distributed among L2, L3… up to Ln at L1 price based on capacity.
Scope of Work Includes: Supply, loading, transport, and delivery of agro-residue-based biomass pellets to 4 GSECL power stations: Ukai, Wanakbori, Gandhinagar, and Bhavnagar.

Gujarat State Specific E Books :

Security Deposit:

For EMD Exempted L-1 Bidder: 3% of Order Value else 5%. Supplier shall deposit 100% of total Security deposit within 15 days of placement of LOI .

EMD (Refundable):

Paid by Demand Draft / by RTGS/NEFT/Online transfer or BG of 6 Month.

EMD Amount:

Rs.280/- multiply by total quoted quantity in MT or Rs.50 lac whichever is lower.

EMD Exemption:

For MSME Bidder having Udyam Registration NIC Code: 38300.

Bid Price:

No Price Escalation during contract period.

Technical Specification:

Import of raw materials is not allowed. Further, Manufacturing plant should be situated in the state of Gujarat.
Provision of repeat order: If all the bidders have supplied their allocated Biomass pellet quantity to their respective TPS, then repeat order for 100% quantity of that TPS will be awarded on sole discretion of GSECL subject to bidders have supplied the biomass pellets within guaranteed parameters.
100% of payable amount shall be paid on receipt of materials at site after 15 days of submission of Invoice by the supplier.

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