Five Firms Share ₹128.3 Cr Punjab Power Pellet Supply Contract for Rupnagar Thermal Plants
Contract Awarded Key Takeaways
- ✓ Five firms awarded shares of ₹128.3 crore pellet supply contract by Punjab Power.
- ✓ Contract covers procurement of paddy straw-based non-torrefied pellets for Rupnagar thermal plants.
- ✓ SHIVA BIOFUELS PRIVATE LIMTED, RAIL EXPERTS, Avon Fuel, RONIT FUELS, and Kasvi Bio Fuels Private Limited are the awardees.
- ✓ 38 bidders participated, with 24 qualifying technically.
- ✓ Multi-award rate contract structure ensures supply from multiple vendors.
- ✓ Award supports Punjab's push for cleaner, biomass-based power generation.
Punjab Power has awarded a ₹128.3 crore contract for the supply of paddy straw-based non-torrefied pellets to five firms for co-firing at its Rupnagar thermal power plants. SHIVA BIOFUELS PRIVATE LIMTED, RAIL EXPERTS, Avon Fuel, RONIT FUELS, and Kasvi Bio Fuels Private Limited will each supply a share under this multi-award rate contract.
In a major step towards cleaner energy generation, Punjab Power has finalized a ₹128.3 crore contract for the procurement of paddy straw-based non-torrefied pellets to be used for co-firing in its Rupnagar thermal power plants. The contract, awarded on 2 July 2026, is split among five firms under a multi-award rate contract structure.
The successful bidders—SHIVA BIOFUELS PRIVATE LIMTED, RAIL EXPERTS, Avon Fuel, RONIT FUELS, and Kasvi Bio Fuels Private Limited—will each supply a portion of the total pellet requirement, supporting Punjab's efforts to integrate biomass into its power generation mix and reduce stubble burning.
The Award
Punjab Power has awarded the ₹128.3 crore contract for the supply of paddy straw-based non-torrefied pellets to five firms: SHIVA BIOFUELS PRIVATE LIMTED (₹12.8 Cr), RAIL EXPERTS (₹21.0 Cr), Avon Fuel (₹31.5 Cr), RONIT FUELS (₹31.5 Cr), and Kasvi Bio Fuels Private Limited (₹31.5 Cr). Each company will supply a share of the pellets required for co-firing at the PSPCL thermal power plants in Rupnagar.
Bidders (38)
About the Project
- Project involves procurement of paddy straw-based non-torrefied pellets.
- Pellets will be used for co-firing in PSPCL's Rupnagar thermal power plants.
- The initiative aims to promote biomass usage and reduce environmental pollution from stubble burning.
- Contract awarded via eProcure platform under a multi-award rate contract.
- Supports Punjab's renewable energy and sustainability goals.
Why It Matters
This contract directly supports Punjab's strategy to combat air pollution by utilizing agricultural residue for power generation, reducing stubble burning, and promoting renewable energy adoption.
The multi-award of this ₹128.3 crore contract marks a significant move by Punjab Power towards sustainable energy practices. By engaging multiple suppliers, the state ensures reliable pellet supply and advances its environmental objectives.
