State-owned hydropower producer Satluz Jal Vidyut Nigam Ltd (SJVN) today announced New Delhi Municipal Corporation (NDMC) has agreed to procure 150 MW of solar power from the projects that SJVN plans to bid and develop under the Central Public Sector Undertaking (CPSU) Scheme.
NDMC will buy the solar power at an INR 2.44/kWh (US$ 0.033/kWh) tariff for 25 years if SJVN develops the capacity under the CPSU scheme.
SJVN plans to bid for 1 GW out of 5 GW grid-connected solar capacity tendered by the Indian Renewable Energy Development Agency Ltd (IREDA) under the third tranche of CPSU scheme Phase II.
State-owned power generators are required to develop this capacity on a build-own-operate basis—either for self-consumption or use by other government entities—using India-made cells and modules. The solar electricity can be supplied to the beneficiary either directly or via power distribution companies on mutually agreed charges.
Under the Scheme, government producers are provided a viability gap funding (VGF) to cover the cost difference between domestic and imported solar cells and modules.
The selection of the producer would be made using the VGF amount as a bid parameter. The maximum permissible VGF is set as INR 55 lakh (US$ 75,451) per megawatt.
In a pre-bid arrangement, SJVN has tied up with NDMC to sell power from its solar projects.
Tie-up with NIWE
SJVN diversified into solar power generation with the commissioning of its first solar project in Charanka Solar Park, Gujarat, in 2017. The power producer has recently tied up with the National Institute of Wind Energy (NIWE), an R&D institution under the Ministry of New and Renewable Energy, to get the feasibility analysis done for its solar, wind, and hybrid projects.
As per a statement issued yesterday, NIWE would support SJVN to assess the feasibility and techno-commercial aspects of solar, wind, hybrid (wind and solar), and hybrid (wind, solar, and battery storage) energy projects and preparation of detailed project reports, estimates and bid documents covering all relevant aspects from concept to commissioning of these projects of SJVN.
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