Uttar Pradesh government to set up 750 MW solar power plant at Badhla, near Jodhpur: Report

The Uttar Pradesh government is targeting to generating solar power from the project from October 2018.

Uttar Pradesh government is reportedly gearing up to set up 750 megawatt solar plant at Badhla, near Jodhpur. According to ET UP government will draw the power in the state from the transmission network of Power Grid Corporation of India.

The publication notes that last week official from MNRE, SECI, representatives from UP and Rajasthan Govt chalked a roadmap to carry out the reverse auction and award the project by August 31. The UP government is targeting to generating solar power from the project from October 2018.

B K Doshi, managing director of Rajasthan Renewable Energy Corporation speaking to ET said “Recent bids for solar projects have witnessed sharp decline in the tariffs at which the developers want to sell power. Central transmission unities charge no fees for wheeling out power from one state to another. In a recent auction for plants in Rajasthan, tariffs have come down to Rs 2.44 per unit. Whatever tariff is discovered through the auction, the UP government will get the power at the same rate in their state even though the plant is located in Rajasthan. ” He further added “Unavailability of infertile land is a big issue for states like Jharkhand, West Bengal, Bihar, Odisha and UP. But, that is no more a hurdle. Under the open access system, they can put up plants anywhere and draw power in their states without any additional cost of transmission charges.”

In last one year the prices of solar modules have gone down by 30%, beside the cost of funds. Joshi notes that for companies who look for economy of scale, the current tariffs are expected to meet the internal rate of return they expect from the projects.