India’s ambitious clean energy roadmap is taking another bold step forward. The Solar Energy Corporation of India (SECI) has issued a major tender to develop a 500 MW offshore wind project in the Gulf of Khambhat, off the Gujarat coast. This initiative, launched under Tranche-I, marks the country’s first Viability Gap Fund (VGF)-supported offshore wind project, signaling a new era for India’s wind energy sector.
Why This Project Matters
India’s 7,600 km-long coastline holds massive potential for offshore wind energy—and Gujarat is at the heart of that promise. Backed by government support, this 500 MW inter-state transmission system (ISTS)-connected project aims to:
- Kickstart commercial-scale offshore wind development
- Attract international investment and expertise
- Lay the foundation for a robust offshore wind ecosystem in India
It also directly contributes to India’s climate goals: 50% electricity from non-fossil sources by 2030 and net-zero emissions by 2070.
Project Location and Scope
The proposed site spans 202 sq. km in the Gulf of Khambhat. It has been identified by the National Institute of Wind Energy (NIWE) through detailed studies, including LiDAR wind assessments and oceanographic surveys. The area benefits from strong, consistent wind speeds and is strategically located near Gujarat’s industrial and port infrastructure.
The project will be awarded as a single 500 MW block to one developer through a competitive bidding process.
Key Tender Highlights
| Feature | Details |
| RfS No. | SECI/C&P/IPP/12/0016/24-25 |
| Capacity | 500 MW (expandable to 550 MW) |
| Location | Offshore Gujarat, Gulf of Khambhat |
| Release Date | September 13, 2024 |
| Bid Submission | Online via ISN-ETS Portal |
Financials & Viability Gap Support
The project comes with robust financial incentives to attract investment:
- RfS Fee: ₹50,000 + GST
- Bid Processing Fee: ₹20 lakh + GST
- EMD: ₹37 lakh per MW
- Performance Bank Guarantee: ₹55.5 lakh per MW
VGF Support: Up to ₹8.128 Cr/MW
The government will provide Viability Gap Funding (VGF) in four performance-linked installments:
- 25% after completing foundation works
- 35% on commissioning of 50% capacity
- 35% upon full commissioning
- 5% after one year of successful operations
This structured support makes the project financially viable and low-risk, especially for first-time offshore developers in India.
Developer Responsibilities
The selected Offshore Wind Power Developer (OWPD) will be responsible for the end-to-end development of the project:
- Seabed surveys and geotechnical analysis
- Obtaining all Stage-II environmental and statutory clearances
- Design, engineering, procurement, and installation
- Building grid connectivity up to the 66kV offshore pooling substation
- O&M for 25 years post commissioning
- Ensuring minimum annual Capacity Utilization Factor (CUF) of 40%
Early and part commissioning is allowed in blocks of 50 MW, with SECI and GUVNL retaining acceptance rights.
Grid & Regulatory Framework
SECI will act as the intermediary procurer, signing:
- Power Purchase Agreement (PPA) with the developer
- Power Sale Agreement (PSA) with Gujarat Urja Vikas Nigam Limited (GUVNL)
Transmission from the offshore pooling station to the ISTS grid will be managed by the Central Transmission Utility (CTU). Developers must handle transmission and metering up to the offshore pooling point.
Grid Compliance Includes:
- Forecasting & scheduling
- CERC, CEA, and grid code adherence
- Energy delivery between 80%-120% of declared CUF
Government Support & Fast-Track Clearances
The project benefits from a strong facilitation mechanism:
- Stage-I clearances from key ministries are already in place
- NIWE will support developers in obtaining Stage-II approvals
- A Scheme Monitoring Committee (including MNRE, SECI, NIWE, CTU, and Gujarat agencies) will resolve inter-agency issues and expedite approvals
Who Can Bid?
- Open to Indian and international firms
- Joint ventures and consortiums are welcome
- 100% FDI permitted under the automatic route
- Prior experience in renewable energy, offshore infrastructure, or large-scale projects is preferred
Timeline at a Glance
| Milestone | Timeline |
| PPA Signing to Commissioning | 48 Months |
| Early Commissioning | Allowed |
| Part Commissioning | In blocks of 50 MW |
| Delay Penalty | Based on delay duration and capacity shortfall |
Why This Project Is a Big Deal
This tender is more than a project—it’s a strategic leap for India’s clean energy transition. It brings several national and industry-level advantages:
- Creates jobs and boosts the green economy in Gujarat
- Introduces offshore wind technology to India at scale
- Builds investor confidence with a clear regulatory framework and financial backing
- Positions India as a global offshore wind hub in the coming decades
Final Call: Be Part of India’s Offshore Wind Future
With strong government support, financial incentives, and global investor interest, the 500 MW offshore wind project off Gujarat’s coast is your chance to be part of India’s clean energy revolution.Now is the time to harness the wind, invest in the future, and power India’s clean energy ambitions.
