TNGECL invites bids to install 40 MW of rooftop solar systems on government buildings across Tamil Nadu, aiming to reduce electricity bills and promote clean energy under a RESCO model.

Chennai: In a major push to reduce power costs and promote clean energy, the Tamil Nadu Green Energy Corporation Limited (TNGECL) has invited bids to install 40 MW of grid-connected rooftop solar systems on government buildings across the state.
The initiative aims to help state departments lower their electricity bills, many of which have been overdue for months, placing a burden on the state’s power utility. “This is the first time we are taking up such a large-scale solar project for government office buildings across Tamil Nadu,” said a senior TNGECL official.
Previously, the Tamil Nadu Energy Development Agency (TEDA), now operating under TNGECL, installed solar panels in 250 schools with a combined capacity of 1.5 MW. “Though some government offices already have solar systems, we do not have proper data on them,” the official added.
TNGECL initially planned a 200 MW rollout, but will begin with 40 MW in the first phase. The projects will be implemented under the Renewable Energy Service Company (RESCO) model through tariff-based competitive bidding.
Developers will install and maintain the systems at no upfront cost to the government, selling the power at a pre-determined tariff. The systems will operate under a net feed-in mechanism, feeding surplus power back into the grid.
In the initial phase, rooftop solar projects will be set up in Chennai, Chengalpattu, Kancheepuram, and Tiruvallur. The Chennai Corporation has already shortlisted around 105 buildings, and site inspections are underway. Priority will be given to government offices with electricity loads above 5 kW or bulk consumption, with required roof areas ranging from 2,000 to 10,000 sq ft per building.
According to the tender, a pre-bid meeting will be held on October 8, with online bid submissions open from October 15 to 27. Technical bids will be opened on October 28. Bidders are required to provide an earnest money deposit of Rs 50 lakh and a performance bank guarantee of Rs one crore per MW within 15 days of signing the agreement.
TNGECL estimates installation costs at around Rs 6 crore per MW, though the final figure will depend on market conditions. Officials added that once completed, the solar systems could reduce monthly electricity bills of government buildings by 40–50 per cent, easing the Tamil Nadu Generation and Distribution Corporation’s (Tangedco) struggle to recover nearly Rs 2,000 crore in unpaid dues from government offices and local bodies.
IANS
Published: 07 Oct 2025, 10:46 am IST
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