ONGC-NTPC venture secures round-the-clock renewable supply at about Rs 4.35 per unit for railway traction and station demand

Ayana Renewable Power has secured 140 megawatts of round-the-clock renewable capacity in a tender run by REMC, the company that sources electricity for Indian Railways. The award marks another step in the railways’ effort to draw more of its power needs from clean energy.

Under the bid, Ayana will supply firm renewable power using a mix of solar, wind and storage technologies. The tariff discovered in the auction is about Rs 4.35 per kilowatt-hour under a long-term power purchase agreement, providing price visibility for both the developer and the off taker.

The electricity will be used to meet a share of the railways’ traction load, which powers trains, as well as demand from stations and related facilities. Indian Railways has been steadily increasing its use of renewable energy as part of its wider decarbonisation plans and its stated ambition to achieve net-zero carbon emissions in the coming decades.

Ayana is now a wholly owned subsidiary of ONGC NTPC Green Private, the 50:50 joint venture between NTPC Green Energy and Oil and Natural Gas Corporation. The joint venture is using such auctions to expand its renewable portfolio, especially in segments that call for reliable green power throughout the day and night.

Industry observers see the latest award as a sign of growing interest in round-the-clock renewable contracts, which combine different technologies and storage to provide steadier output than stand-alone solar or wind plants. For the railways, such arrangements offer a way to cut emissions and limit exposure to fuel price swings, while for developers they open a path to bankable, long-term projects in a fast-growing market.