Tag:

DMRC

PPA Signed For India’s Cheapest Solar Power Project

written by saurabh

One of India’s largest solar power parks and the cheapest so far has crossed yet another milestone in its journey towards commissioning and full operationalisation.

One of the major off-takers of the electricity generated from the Rewa solar power park, Delhi Metro Rail Corporation (DMRC), recently signed the power purchase agreement with Madhya Pradesh Power Management Company. As per the agreement, DMRC will procure 24% of the electricity generated at the 750 megawatts solar power park.

The Rewa solar power park will be located in the state of Madhya Pradesh and is a joint venture between Madhya Pradesh Urja Vikas Limited and Solar Energy Corporation of India Limited. In addition to DMRC, the power distribution companies in Madhya Pradesh shall also procure electricity from the solar power park.

Three units of 250 megawatt each were recently auctioned by the Solar Energy Corporation of India. The three units of the solar power park have been awarded at tariffs of Rs 2.970 to Rs 2.979 per kWh (4.4¢/kWh). The lowest bid was placed by ACME Cleantech Solutions, one of the leading solar power project developers in India. Mahindra Renewables, part of a large industrial conglomerate, secured a 250 MW unit at Rs 2.974/kWh, and Solenergi secured the third unit at Rs 2.979/kWh.

These are the lowest-ever tariffs for any utility-scale solar power project in India. The bids placed by these developers are for only the first year of project operations. The tariffs will increase by Rs 0.05/kWh (0.07¢/kWh) for a period of 15 years. Thus, the levellised tariff for all three units will be around Rs 3.30/kWh (4.9¢/kWh).

The power purchase agreement for Rewa solar power project is central to DMRC’s plan to source all of its electricity from solar power projects.

The next milestone in the development of this solar power park will be the financial closure. The International Finance Corporation, which will provide long-term debt finance at 0.25%, stated that this step shall be completed soon. The project is now expected to be commissioned within 18 months or by the start of Q4 2018.

04/19/2017 0 comment

Renewable Energy

750 Megawatts Solar Tender In India Draws Bids For 7,500 Megawatts

written by saurabh

One of the recent solar power auctions in India has received a massive response from project developers.

The Rewa solar power park tender of 750 megawatts has attracted bids from some of the leading project developers in India and abroad. A total of 20 developers have placed bids with a cumulative capacity of 7,500 megawatts, translating into a 10 times over-subscription of the tender.

The solar power park will be developed in 3 phases of 250 MW capacity each, spread over a total of 1,500 hectares. Power generation from the first phase is expected to start beginning in June 2017, with the entire capacity expected to be fully operational by December 2017.

Of the 20 bidders, four have submitted to develop all three sections of the park. ReNew Power (one of India’s leading renewable energy developers and backed by Goldman Sachs), SBG Cleantech (joint venture between Bharti Enterprises, SoftBank and Foxconn), Enel Green Power and Adani Group (operator of India’s largest solar power project) submitted bids to develop the entire 750 megawatts capacity.

Hero Future Energies and Mahindra Renewables, both parts of large industrial conglomerates in India placed bids to develop 500 megawatts each.

A number of reputed Indian and global companies submitted bids to develop 250 megawatts capacity each. These include Acme Solar, Orange Renewables, Torrent Power, GDF Suez, RattanIndia Power, Aditya Birla Renewables, Azure Power Canadian Solar and Solenergi Power.

Almost a third of the planned capacity has already been allocated to the Delhi Rail Metro Corporation (DMRC) while the rest will be signed up by the distribution utilities of the host state, Madhya Pradesh. The International Finance Corporation (IFC) will provide funding for the project.

01/31/2017 0 comment

Renewable Energy

Record Low Bids Expected In India’s 750 Megawatts Solar Power Tender

written by saurabh

India’s solar power bids are expected to fall to a new record low with the upcoming reverse auction of 750 megawatts solar power park.

The Solar Energy Corporation of India (SECI) is expected to launch reverse auction for the Rewa solar power park in the state of Madhya Pradesh. The solar power park will be among the largest solar power parks in India although much larger parks are being planned by SECI.

The solar power tender will offer some incentives to the project developers that have never been offered till date. Successful project developers will have more flexibility to sell generated electricity compared to existing projects. A significant percentage of the planned capacity has been allocated to power distribution utilities in Madhya Pradesh as well as the Delhi Metro Rail Corporation (DMRC).

SECI will also implement a payment security mechanism so that developers are ensured of payment even if the power distribution utilities refuse to pay. The developers shall also receive payment during times of non-availability of power grid.

Additionally, the tariff discovered following the reverse auction shall undergo annual escalation of INR 0.05/kWh (0.7¢/kWh) for the first 15 years.

Delhi Metro has agreed to procure at least 121 million kWh electricity every year from the first phase. Once all the phase are operational, Delhi Metro may increase procurement to 363 million kWh per year.

Earlier this year, the International Finance Corporation (IFC) signed an agreement with the government of the state of Madhya Pradesh in India to provide assistance in the implementation of the solar power park. The IFC will extend its global expertise to structure and implement the transaction to help attract private investments of about $750 million. IFC’s work on this project will be supported by its partnership with Australia’s Department of Foreign Trade.

The lowest tariff bid for utility-scale solar power project in India currently stands at INR 4.34/kWh (6.40¢/kWh) in Rajasthan. There is every chance that the bids for the Rewa solar power park will be lower than the current lowest bid.

01/22/2017 0 comment

Renewable Energy

Delhi Metro To Run Trains Using Solar Power From Next Year

written by saurabh

India’s largest subway system is set up fully switch to solar power from next year with an aim to reduce its growing carbon footprint.

Delhi Metro Rail Corporation chief Mangu Singh told reporters that the subway system shall fully shift to solar power to run trains and support infrastructure, like lighting at stations, from next year.

DMRC shall maintain backup power systems in case of any eventuality. There have been no reports so far to indicate that the the DMRC shall use battery storage systems as well.

Currently, DMRC has a peak demand of 150 megawatts which is expected to increase to 250 megawatts on network expansion. DMRC has signed an agreement with Rewa solar power park, proposed for installation in the state of Madhya Pradesh, to acquire 250 megawatts electricity. Power from that project should start flowing from next year. The solar power park is stalled to have a total installed capacity of 750 megawatts.

Delhi Metro already operates several rooftop solar power systems at many of its stations. The rooftop system fulfil the electricity needs of the stations. The Corporation is set to expand this network of rooftop solar power systems and targets to have installed rooftop solar capacity of 50 megawatts by 2020.

Since its inception Delhi Metro has taken several measures to reduce its carbon footprint and maintain sustainability. Coaches used by Delhi Metro have regenerative braking systems installed.

12/20/2016 0 comment

Articles Renewable Energy

Delhi Subway System Signs PPA With 750 MW Solar Power Project

written by saurabh

India’s largest subway system – Delhi Metro Rail Corporation – has signed power purchase agreement with one of the largest solar power projects planned in the country.

According to media reports, the Delhi Metro Rail Corporation (DMRC) has signed agreement to purchase electricity generated from the planned 750 MW solar power park in the state of Madhya Pradesh. Power generated from the Rewa-based solar power park will be transmitted to Delhi, around 800 kilometres away.

The 750 MW solar power park will be one of the biggest in India once fully operational. The project is among the first ultra mega solar power projects approved by the central government under its revised solar power target of 100 GW by March 2022.

06/14/2016 0 comment