Indian State Of Andhra Pradesh Plans To Add 5,000 MW Solar Power Capacity by 2019

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Gujarat Solar Park
An aerial view of India’s largest solar park in Gujarat, India

The south Indian state, which recently saw its boundaries redrawn, is drawing up a new renewable energy policy with an aim to attract investment and boost power generation capacity.

The state government is working on a comprehensive renewable energy policy that would see 5,000 MW of solar power and 4,000 MW of wind energy capacity installed by 2019. The policy is expected to be released in a month’s time. To kick off things, the government issued a tender for 500 MW solar power capacity last week.

Major government-owned companies are also planning to set up large-scale solar power projects. NTPC Limited and NVVN Limited have plans to install 1,000 MW of solar power projects in the state. The Solar Energy Corporation of India (SECI) Limited has signed an agreement with the erstwhile Andhra Pradesh government to set up 1,000 MW solar power project in Mahbubnagar district. The district now falls in the newly separated state of Telangana.

Last year, the erstwhile Andhra Pradesh government had floated a tender to set up 1.16 GW of solar power capacity across the state. The response was overwhelming, with prospective project developers submitting bids for 1.35 GW capacity. There has been no official word on the future of these projects following the division of the state.

The state also has significant wind energy potential. According to the Centre for Wind Energy Technology (India), the state has an installable wind power potential of about 14,500 MW at 80 meter hub height. The state had an installed wind energy capacity of less 800 MW by March 2014.

Ever since the division of Andhra Pradesh, the two new states have been claiming acute shortage of power supply and have been demanding assistance from the central government. Both the states are trying to outdo the other with ambitious announcements to increase infrastructure and attract investment.

Before the separation, the state had Renewable Purchase Obligation of 5%. The new government is yet to clarify if it intends to continue with the same target, or set a more ambitious one.

Image Credit: Gujarat Power Corporation Limited

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Mridul Chadha

Mridul currently works as Head-News & Data at Climate Connect Limited, a market research and analytics firm in the renewable energy and carbon markets domain. He earned his Master’s in Technology degree from The Energy & Resources Institute in Renewable Energy Engineering and Management. He also has a bachelor’s degree in Environmental Engineering. Mridul has a keen interest in renewable energy sector in India and emerging carbon markets like China and Australia.

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