Just over 18 months after Acme Solar Holdings quoted India’s lowest-ever solar power tariff, the company announced that it fully operationalized the project in a remote desert area in the state of Rajasthan.
Acme Solar announced that it commissioned 200 megawatts (AC) of capacity at Rajasthan Bhadla solar power park. The company had secured the rights to develop this project at a competitive auction held in February 2017. The auction saw massive over-subscription and only two companies managed to secure projects in the 500 megawatt capacity offered.
In February 2017, two separate auctions for 250 megawatts and 500 megawatts were held for a new phase of development at the Bhadla solar power park. These projects were offered by private companies in partnership with state government agencies. Solar Energy Corporation of India conducted the auction on their behalf.
The first auction, of 250 megawatts, was won by three companies — Phelan Group (50 megawatts at Rs 2.62/kWh), Avaada Energy (100 megawatts at Rs 2.62/kWh), and SB Energy (100 megawatts at Rs 2.63/kWh). At that time, these tariff bids were the lowest in India.
Within two days, Acme Solar, which had failed to win any capacity in the first auction, broke the record for the lowest-ever solar tariff bid in India, which stands to date. In the second auction of 500 megawatt capacity, Acme Solar secured 200 megawatts of capacity at Rs 2.44/kWh, while SB Energy won 300 megawatts of capacity at Rs 2.45/kWh.
Acme Solar reported that it invested Rs 980 crore ($136 million) to set up the projects, which includes equity investment by the company and the debt funding it raised.
With the announcement of this project being commissioned, Acme also reported that its operational capacity has increased to 2.4 gigawatts and its portfolio stands at over 5.5 gigawatts. The company has claimed that it has become that largest solar power developer in India in terms of portfolio size.