Indian Railways Awards 960 Megawatts Of Round-The-Clock Renewable Power Projects

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In a landmark tender, the Indian Railways has allocated large scale renewable energy projects to four companies. 

According to media reports, Railways Energy Management Company Limited (REMCL) has allocated 960 megawatts of renewable energy capacity to four companies. The winners are required to supply round-the-clock renewable power to Indian Railways. REMCL is a subsidiary of Indian Railways and is responsible for procuring power for it. 

NTPC Renewable Energy, a subsidiary of India’s largest power generation company NTPC. Anaya Renewables secured rights to develop 500 megawatts and 300 megawatts capacity at a tariff rate of Rs 4.10 per kilowatt-hour. Sprng Energy won 100 megawatts at Rs 3.99 per kilowatt-hour, while O2 Power secured 60 megawatts at Rs 4.27 per kilowatt-hour. 

Developers are required to set up new projects and cannot supply from commissioned power projects. Tender conditions stipulate at least 75% availability of project capacity during first four years and at least 5% from fifth year onward. 

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Developers are free to either set up their own storage capacity or contract it from other entities. Supply from storage capacity shall be counted towards developers’ obligation under the tender. However, the storage capacity must be charged using renewable power. 

The tender conditions also stipulate that developers must use modules mentioned in the Approved List of Models and Manufacturers issued by the Ministry of New and Renewable Energy. For wind energy projects, turbines recognized by the Ministry under the Revised list of Models and Manufacturers must be used. 

Indian Railways has been actively pursuing a goal to increase share of renewable energy in its energy mix. It is believed to be in the process of converting most of its diesel-fired locomotives to electric locomotives. It has installed rooftop solar power projects at several stations as well as trains to power lighting and cooling systems. 

According to a 2017 UNDP study, Indian Railways has the potential to set up 3.9 gigawatts of land-based solar power capacity and 1.1 gigawatts of rooftop solar power capacity and meet 25% of its electricity needs from renewable energy sources. 

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

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