India: PV deadlines might not be met


The January 2012 Edition of the India Solar Compass, the latest issue of Bridge to India's quarterly Indian solar market analysis report, has revealed analysis that various on-going solar power projects under India's National Solar Mission (NSM) and Gujarat Solar Policy are unlikely to meet their commissioning deadlines.

The India Solar Compass goes into detail on the factors leading to the delays by players. The deadline for the commissioning of projects under batch one of phase one of the NSM is January 10, 2012. According to Bridge to India's assessment, not more than eight PV projects will meet this deadline and delayed projects will be commissioned only by April 2012.

Gujarat currently has 958 megawatts worth of projects allotted under Phase I and Phase II of its solar policy. According to Bridge to India's market experts, not more than 150 MW worth of PV projects will be completed by the deadline and not more than an additional 50 MW will be completed by January 28 2012. The deadline for these projects was December 31 2011.

Penalties of INR30,000 (US$750) per day per MW will be charged for missing the deadline. Also, the projects installed after January 28, 2012, the last date of the current control period, will get a downward revised tariff. Developers of the remaining 250 MW will look to sell their projects if they are yet to begin construction.

According to Bridge to India's solar expert Mohit Anand, "Such an option would be illegal and fraught with considerable risks."

Mohit Anand is a senior consultant for Bridge to India, a consulting company with an entrepreneurial approach based in New Delhi, India. Founded in 2008, the company provides market analysis and market entry advisory to international solar companies looking to enter the Indian market.

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