Adityanath govt targeting Rs 500-bn investment in solar power space
Adani Group, Tata Power and NTPC are among the six energy majors who have been selected by the Uttar Pradesh government to develop nine solar power projects in the state.
These projects pertain to different installed capacities, ranging from 25 megawatt (Mw) to 100 Mw, and collectively amount to 550 Mw. They are meant for supplying grid-connected power to the state, which is ramping up its renewable energy portfolio.
UP New and Renewable Energy Development Agency (UPNEDA) had invited tariff based e-bids from companies under the new UP Solar Energy Policy 2017. The bidding terms had allowed bidders to submit more than one bid. It garnered a good response from private sector companies, who oversubscribed the bids by almost 45 per cent.
According to UP Energy Principal Secretary Alok Kumar, NTPC had been awarded a solar project for 85 Mw, while Bastille Solar was awarded two projects of 70 Mw each. Giriraj Renewables won the bid for a 100-Mw plant, while Adani Group’s solar energy arm, Mahoba Solar (UP), won the bid for two projects of 25 Mw and 50 Mw.
Meanwhile, Tata Power Renewables Energy has won the bid for two projects of 50 Mw each, while Jakson Power has won a solar energy project of 50-Mw capacity.
To promote green energy and reduce overdependence on coal-fired power, the state government is promoting solar power parks under the public-private-partnership (PPP) model. The state is eyeing solar energy generation of 10,700 Mw by 2022.
Besides, the government is eyeing private investment of almost Rs 55 billion in the proposed Bundelkhand Green Energy Corridor, which is expected to generate solar power totalling 4,000 Mw. The proposed corridor would be part funded by the Centre.
The government would foot the expenditure on evacuating power from solar energy projects of 5 Mw and above onto the grid in Bundelkhand and Purvanchal regions.
The state has also announced it would provide 100 per cent exemption in electricity duty to the private solar power companies for 10 years, while they would be free to sell power to third parties as well. The sale of power within and outside UP would also get 50 per cent and 100 per cent exemption in transmission charges, the minister informed.
On account of the rising power demand due to incremental growth, coupled with the government’s target to provide metered electricity to all the households by next year, the state has projected total power supply to touch 22,500 Mw by the next peak summer season.
While, the government is trying to ramp up solar power generation through on-grid and off-grid solar power plants, including rooftop solar power installations, the grid transmission capacity is also being fortified to handle higher loads to prevent tripping.
The Adityanath government is targeting an investment of Rs 500 billion in the solar power space.