Azure Power, an Indian solar producer, has been awarded the right to build a 100 MW solar PV project in India at an auction held by Indian power generation company NTPC Limited.
Held as part of Indias ambitious National Solar Mission, the NTPC auction had a total project capacity of 1 GW, with Azure Power securing a favorable rate of INR 5.12/kWh ($0.08/kWh) for the solar plant, which will be constructed in the state of Andhra Pradesh.
This winning rate is 11% higher than the first two auctions priced in the same solar park, which were won by SunEdison and Japans SoftBank for a tariff of just INR 4.63/kWh ($0.07/kWh, but nevertheless represent a competitive strike price for India.
Azure Power beat nine other companies to secure the 100 MW project. A total of 150 MW was auctioned off during the tender, which was announced exclusively for PV projects that will use domestic solar cells and modules made in India as part of the government-backed Make in India campaign.
We are proud to have successfully brought down the cost of solar power by almost 71% from INR 17.91/kWh to INR 5.12/kWh in this project, said Azure Power CEO and founder Inderpreet Wadhwa.
Azure Power has recently secured a further 150 MW solar project in the state of Punjab, securing the rights to develop with a winning bid of INR 5.63/kWh. The developer has also filed for a $100 million IPO on the New York Stock Exchange in recent weeks as it eyes funds for further expansion.