The Indian Oil Corporation has once again cancelled the tenders for its first green hydrogen project at the Panipat refinery. The state-run oil refining and marketing giant posted the withdrawal notice on its website on August 6.
Last month, Moneycontrol had exclusively reported that the oil marketing company is considering to cancel the tender for its maiden green hydrogen plant to revise norms to attract more bidders.
The ongoing hiccups in awarding the contract is adding to the delays for India's largest green hydrogen project. The project is crucial, showcasing Indian Oil Corporation's pioneering efforts to steer away from fossil fuels towards sustainable energy solutions. It sets a significant precedent for other energy companies in India to follow suit in embracing green technologies.
The bids for the second tender, which was floated in March, closed on July 9 with two entities in the race—GH4India, a consortium that includes IOC and has ReNew and Larsen & Toubro as partners, and Noida based-Neometrix Engineering.
Sourced told Moneycontrol that some renewable energy companies were believed to be lobbying for technical specifications to be diluted so that they can participate too.
The orignal tenders were floated in August 2023. A petition was lodged with the Delhi High Court last November by the Indian Green Hydrogen Producers Association over 'discriminatory' clauses. In February, the tender was cancelled.
Subsequently, IOCL reissued the tender in March, removing the controversial ROFR (right of first refusal) clause. But potential bidders flagged that IOCL also introduced changes to the eligibility criteria, making it difficult for them to participate in the bids.
While the second tender revised norms to address the issue of preferential treatment to the IOCL joint venture, it also laid out stricter eligibility criteria that is the bone of contention for some industry players, sources said.
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