Connect with us

Hi, what are you looking for?

CleanTechnica
The south Indian state of Tamil Nadu has completed one of the largest solar power capacity allocations in the country. The state government recently confirmed that project developers have agreed to develop a 1.5 gigawatts of solar PV power capacity following a competitive auction.

Clean Power

India’s Tamil Nadu Allocates 1.5 Gigawatts Of Solar In Latest Tender

The south Indian state of Tamil Nadu has completed one of the largest solar power capacity allocations in the country. The state government recently confirmed that project developers have agreed to develop a 1.5 gigawatts of solar PV power capacity following a competitive auction.

Originally published on CleanTechies.

The south Indian state of Tamil Nadu has completed one of the largest solar power capacity allocations in the country. The state government recently confirmed that project developers have agreed to develop a 1.5 gigawatts of solar PV power capacity following a competitive auction.

Tamil Nadu Generation and Distribution Corporation (TANGEDCO) has announced that it awarded solar power projects with a cumulative capacity of 1,500 megawatts to 16 developers. All these projects have been awarded at Rs 3.47/kWh (5.4¢/kWh), the lowest tariff bid committed by 25 participating developers.

Last month, TANGEDCO received a massive response to the tender with project developers willing to set up 2.67 gigawatts of capacity against the offered 1.5 gigawatts of capacity. The bids submitted by the participating companies varied from Rs 3.47/kWh (5.4¢/kWh) to Rs 4.00/kWh (6.2¢/kWh), the maximum allowed bid.

A public sector company NLC Limited offered to place a bid to develop the entire 1.5 gigawatts capacity at Rs 3.97/kWh (6.1¢/kWh) but eventually agreed to do it to match the lowest tariff of Rs 3.47/kWh (5.4¢/kWh).

TANGDECO called upon all the developers to match the lowest bid and 16, including NLC, responded positively. Raasi Green Earth Energy, a lesser known developer in India, is believed to have bagged 100 megawatts; the company has placed the lowest bid. NLC was awarded 700 megawatts of capacity likely because some other developers refused to match the lowest bid.

The successful tendering is a major milestone for TANGEDCO which has been really struggling to attract solar project developers when compared to other states like Telangana, Karnataka, Andhra Pradesh and Rajasthan.

TANGEDCO had offered 500 megawatts solar power capacity in February 2016 but received bids for just 177 megawatts. The utility put 500 megawatts capacity on the block again in November 2016 but received bids for 300 megawatts only.

The power utility is known to be facing financial challenges accompanied by non-availability of ample grid infrastructure to support renewable energy projects. Tamil Nadu is already the largest wind energy producing state in India.

While project developers have been given up to 24 months to commission their projects, the longest ever in Indian history, they have chosen to quote tariffs which are at a significant premium to the current lowest solar power tariff in the country. ACME Cleantech Solutions currently holds the record for the lowest solar power tariff in India at Rs 2.44/kWh (3.8¢/kWh).

Reprinted with permission.

 
Check out our brand new E-Bike Guide. If you're curious about electric bikes, this is the best place to start your e-mobility journey!
 
 
Appreciate CleanTechnica’s originality and cleantech news coverage? Consider becoming a CleanTechnica Member, Supporter, Technician, or Ambassador — or a patron on Patreon.
 
Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.

Advertisement
 
Written By

An avid follower of latest developments in the Indian renewable energy sector.

Comments

You May Also Like

Clean Transport

Technology advances are breaking all kinds of patterns. One notable improvement is more that women are to be found in automotive workplaces in India,...

Clean Power

Welcome to another issue of our India x Cleantech series! On a monthly basis, we are pulling news from across clean technology sectors in...

Aviation

As VinFast,  a Vietnamese EV company, announced its plan to open more than 50 stores across France, Germany, and Netherland at EVS35, the Audi...

Clean Power

Government-owned Hindustan Salts has invited bids for the development of 1 gigawatt of solar power capacity.  Hindustan Salts has floated a tender inviting developers...

Copyright © 2021 CleanTechnica. The content produced by this site is for entertainment purposes only. Opinions and comments published on this site may not be sanctioned by and do not necessarily represent the views of CleanTechnica, its owners, sponsors, affiliates, or subsidiaries.