GAIL, Mahindra, Welspun to develop solar PV projects

Richa Mishra New Delhi | Updated on March 12, 2018 Published on January 02, 2012


Power purchase agreements with 22 companies soon

NTPC Vidyut Vyapar Nigam (NVVN) expects to sign power purchase agreements with 22 companies by January-end to develop 350 MW of grid-connected solar photovoltaic energy. The companies include GAIL (India), Welspun Solar, Mahindra Solar One, Enfield Infrastructure, Essel Infraprojects, Azure Power India and French firm Fonroche Energie S.A.S.

The trading arm of NTPC has been designated as the nodal agency for sale and purchase of grid-connected solar power under the Phase-1 of the Jawaharlal Nehru National Solar Mission. Last December, NVVN had issued letters of intent to the short-listed developers for the second batch of Phase-1.

The other companies short-listed include Solairedirect SA, SunBorne Energy Services, Sujana Towers, and Green Infra Solar Farms. Of the 28 projects for which letters of intent have been issued to these companies, 24 are in Rajasthan, two in Maharashtra, and one each in Andhra Pradesh and Tamil Nadu.

“Once the power purchase agreements are inked, the target of over 1,000 MW capacity envisaged in Phase-I would be met,” a senior official said.

Over 150 companies, including Reliance (Anil Ambani Group), Lanco, Moser Baer and the Tatas, had evinced interest in developing large solar photovoltaic projects of up to 20 MW under the second batch. Request for selections were received for 218 projects for over 2,500 MW, much higher than the 350 MW offered.

Tariff quoted

Developers offering the best discount on the tariff fixed by the regulatory commission for photovoltaic projects were short-listed for the second batch and letters of intent issued. The tariff quoted were presumably amongst the lowest in the world with an average Rs 8.77 a unit, with the lowest bid being Rs 7.49 a unit. Compared with the tariffs of over Rs 18 a unit at the start of the Mission, this is a reduction of more than 50 per cent, the official added.

The National Solar Mission envisages the implementation of the solar programme (thermal and photovoltaic), including utility grid solar power in three phases — first phase up to 2013 (1,100 MW), second phase up to 2017 (4,000 MW), and third phase up to 2022 (20,000 MW).

Published on January 02, 2012
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