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Central Electronics Seeks Developers for 1.2 GW Solar Module Manufacturing Facility in Uttar Pradesh

State-owned Central Electronics Limited (CEL) has invited bids to establish a 1.2 GW solar module manufacturing line at its Sahibabad facility in Uttar Pradesh, marking a significant step toward expanding domestic manufacturing capacity under the Make in India programme.

The project will be implemented under a revenue-sharing model. Interested bidders must submit their proposals by January 15, 2026, with bid opening scheduled for the following day. An earnest money deposit of Rs 5 million is required to participate in the tender.

The proposed manufacturing unit will be set up on a total land area of around 21,000 square metres, with a built-up space of approximately 15,000 square metres. The earmarked area—along with an existing 900 kW ground-mounted solar power plant—will be handed over to the selected bidder on an “as-is, where-is” basis.

The contract period for establishing and operating the module manufacturing line will be six years, covering manufacturing, operations and maintenance, marketing, and sales of the modules produced. CEL has provisioned an extension of up to three additional years.

The successful bidder must install and commission the manufacturing line and commence commercial operations within 12 months from the date of issuance of the letter of intent or site handover, whichever occurs later. The scope of work includes creation of manufacturing infrastructure, equipment installation, utilities, manpower deployment, certifications, insurance, operations and maintenance, as well as marketing and sales.

All modules manufactured under the project must be sold exclusively through CEL. However, the products will be marketed under the successful bidder’s own brand and not under CEL’s name. The bidder will bear full responsibility for product warranties, guarantees, and any related claims, and must indemnify CEL against all liabilities arising from product sales.

To support the project, CEL has earmarked financial assistance of up to Rs 250 million. This support will be disbursed against invoices and capped at the approved amount, with any buildings created under this assistance remaining the property of CEL.

Under the revenue-sharing arrangement, the selected bidder will pay CEL either the per-watt revenue share discovered through the forward auction or a minimum guaranteed payment. The minimum guaranteed amount has been set at Rs 150 million for the first year and Rs 180 million per year from the second year onwards. The same minimum applies during any extension period. The tender carries a reserve price of Rs 0.25 per watt peak.

Eligibility criteria require bidders to have an average annual turnover of at least Rs 750 million over the past three or four financial years and a minimum net worth of Rs 500 million as of March 31, 2025.

Earlier this year, in April, CEL had floated a separate tender for setting up a 200 MW solar module manufacturing line at the same Sahibabad facility.