Government Fires SECI Chairman R P Gupta With Immediate Effect
By
siliconindia | Monday, 12 May 2025, 10:38:19 AM IST
- R P Gupta, SECI CMD, terminated without explanation by the Union Government.
- SECI faces delays in PSAs/PPAs for 12 GW of renewable projects.
- Corruption allegations, bidding irregularities, and regulatory setbacks add to SECI's challenges.
In a major turn of events, the Union Government has suddenly dismissed the services of R P Gupta, Chairman and Managing Director of the Solar Energy Corporation of India (SECI), with immediate effect. The order, which was issued by the Appointments Committee of the Cabinet on May 10, 2025, did not mention any reason for the action. Business Standard has seen a copy of the dismissal order.
Gupta, a retired Indian Administrative Service (IAS) officer belonging to the Gujarat cadre, had assumed charge of SECI in June 2023. His tenure was initially to run till June 2025. He was Secretary in the Ministry of Environment, Forest and Climate Change prior to his joining SECI. His unexpected ouster has caused eyebrows to be raised in the energy industry, especially at a time when there has been a string of controversies and troubles confronting the renewable energy implementing agency.
SECI, falling under the Ministry of New and Renewable Energy (MNRE), has been questioned for its increasing backlog and tardiness in signing Power Sale Agreements (PSAs) and Power Purchase Agreements (PPAs). Out of the approximately 40 gigawatts (GW) of renewable energy (RE) projects offered by the four Renewable Energy Implementing Agencies (REIAs), SECI itself has the responsibility of approximately 12 GW for which PSAs or PPAs are outstanding. The inability to find buyers for these projects has greatly hindered the deployment of green energy capacity in India.
This deficiency has also contributed to global controversies. The U.S. Attorney of the Eastern District of New York has brought a corruption case against Indian energy giants like the Adani Group and Azure Power. The charges trace back to 2019–2020, when SECI issued record-high tenders of 30 GW. Most of these projects, such as mega solar power plants by Adani Green Energy, ReNew Power, SoftBank Energy, and ACME Solar, did not see the light of the day because of the absence of committed power buyers.
The U.S. Securities and Exchange Commission (SEC) accused Adani and Azure and other such companies of bribing state governments in the absence of PSAs to ensure favorable deals. One of the tenders being investigated is SECI's historic 7 GW manufacturing-linked solar tender floated in January 2020.
Compounding SECI's woes, internal processes have come under the scanner after discrepancies in the bidding process. In October 2024, Business Standard had reported that Anil Ambani-owned Reliance Power had provided fake bank documents for a SECI tender but was allowed to bid anyway. The company had falsely represented the State Bank of India (SBI) as a guarantor through a fake SBI email address, which the bank later established was forged. SECI was forced to cancel the tender and blacklist the firm from future bids.
In another regulatory setback, in January 2025, the Central Electricity Regulatory Commission (CERC) dismissed the tariff found under SECI's first-ever grid-scale Battery Energy Storage System (BESS) tender, won by JSW Energy in 2022. The CERC used tardiness in executing agreements and declining BESS prices as prime grounds. The project was now legally challenged after the company challenged the decision in court.
Gupta's unannounced departure leaves SECI with a leadership gap at the moment when India's renewable energy plans are coming under close inspection and pressure. The MNRE has not made an announcement yet on a successor.
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