Andhra Pradesh aiming for 1 GW of solar projects

Share

Applicants have until February 7 to apply to be part of the scheme, which will be the first to feature an online bidding process, according to consultants Bridge to India.

The power generated will be sold to industry through 20-year PPAs at a rate determined by the successful bidders with the state paying for any surplus generation.

A possible deterrant is the state's insistence that no more than 20 MW can be generated from each location, although developers can apply for an aggregate capacity of up to 200 MW.

The Andhra Pradesh procurement process will also be the first to feature financial incentives to encourage developers to get schemes up and running before their scheduled start date. Successful bidders will have seven months from signing PPAs to achieve financial closure and a year to commission photovoltaic plants.

Plants up and running 30-59 days ahead of schedule will earn developers INR100,000/MW (US$1,800), those commissioned 60-89 days early will earn INR200,000/MW and schemes running 90 days or more ahead of schedule will pocket INR300,000/MW.

The same figures will be applied as penalties to schemes which start behind schedule, according to the same time periods.

The state is applying a one-year lock-in, ensuring developers cannot sell a majority stake in their companies within a year of starting their schemes as commentators predict big international players will be acquiring Indian companies as a way of getting around domestic content requirements.

It is hoped the Andhra Pradesh scheme – managed by the Andhra Pradesh Power Transmission Company – will be more successful than the recent bidding in Tamil Nadu which saw only 499 MW of a hoped-for 1 GW of solar electricity commissioned.

Popular content

This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.

Share

Related content

Elsewhere on pv magazine...

Leave a Reply

Please be mindful of our community standards.

Your email address will not be published. Required fields are marked *

By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.

Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.

You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.

Further information on data privacy can be found in our Data Protection Policy.