India set to invite bidding for largest solar power project!

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solar projectsWednesday, June 25, 2014: Indian government is all set to launch largest bidding of 1500 MW worth solar power projects under Jawaharlal Nehru National Solar Mission (JNNSM). Government officers are considering this as first success of converging vis-a-vis coal, renewable energy, solar power bundled with conventional power at huge scale.

Government of India had tendered solar power projects worth 750 MW in last January as Phase 1 of JNNSM. This bidding of 1500 MW worth solar power projects comprises of Phase 2 of the mission. India is hoping to cross 20,000 MW of solar power capacity by 2022, while country’s current solar power capacity is just 2600 MW. Solar power produced in this mission will be bundled with existing conventional power. This pooled power will be sold to distribution companies ,who stay away from solar power due to high cost.

NVVN( NTPC Visyut Vyapar Nigam) is preparing to handle sales, marketing and bundling of power and it’s scale. It is part of National Thermal Power Corporation Ltd. (NTPC). NVVN officials confirmed the average cost of this power, which would be Rs 4-4.5 per unit. Senior official at NVVN reportedly said, “For alignment, we are in holding talks for connectivity with ‘central transmission unit’ because this time, the capacity is huge. We are also looking forward to see big names in industry bidding for huge capacities.” NVVN was pulled out of handing solar mission, which was introduced in 2010. “It was easier to co-ordinate with power and energy of department because of being in one roof.” said the senior officer at Ministry of New and Renewable Energy (MNRE).

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Tarun Kapoor, joint secretory, MNRE said, “We are focusing in dealing with all stakeholders. The guideline for project are supposed to come out soon.The bidding should start by July-August.”

The price of solar power has come down to Rs 6.5-7 per unit in last 3 years. Government is granting for ultra mega power projects of 1000 MW each for solar. MNRE officer clarified that, “The bidding cost was slashed down to Rs 8-10 per unit from Rs 17 per unit after endless efforts of NVVN”.

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