State-owned hydropower producer NHPC has signed an engineering, procurement and construction contract (EPC) with Adani Infra (India) Ltd. to develop 600 MW of solar projects in Gujarat.
The capacity is part of 1 GW of solar projects won by NHPC under the third tranche of the Central Public Sector Undertaking (CPSU) Program (Phase-II). NHPC has awarded the rest of the capacity to Tata Power Solar Systems (300 MW in Rajasthan) and the SSEL-ASR joint venture (100 MW in Andhra Pradesh).
The total value of the awarded projects is INR 6,604 crore ($846 million). The project completion period is 18 months, according to NHPC.
The EPC contractors will be expected to develop the grid-connected solar projects (1 GW) and a transmission line to connect to an interstate transmission system (ISTS) substation. The winning bidders will also provide comprehensive operation and maintenance services for a period of five years.
Under the CPSU scheme, state-run power producers are provided financial support to set up solar plants for self-use or for use by other government entities, either directly or through electricity distribution companies. The scheme mandates the use of domestic solar cells and modules. It provides viability gap funding to cover the cost differences between domestic and imported solar cells and modules.
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