In a not so surprising move, the Gujarat Government after paying out a huge amount in fixed tariff for its 670MW commissioned plants is looking to change tariffs to be in line with the existing norms.
It has offered approx. Rs. 9 fixed for the life of the plant and is enticing developers by adding in some sops. The argument put forward by the Gujarat government is windfall gains by developers due to reduced costs of deployed against which the equity returns were calculated.
A reaction is awaited from the existing commissioned developers who may not take this lying down and are contemplating various courses of action.
Will keep you posted on updates
About Ritesh Pothan
Ritesh Pothan, is an accomplished speaker and visionary in the Solar Energy space in India. Ritesh is from an Engineering Background with a Master’s Degree in Technology and had spent more than a decade as the Infrastructure Head for a public limited company with the last 9 years dedicated to Solar and Renewable Energy.
He also runs the 2 largest India focused renewable energy groups on LinkedIn - Solar - India and Renewables - India
This entry was posted in Crystalline
, Renewable Purchase Obligation
, Thin Film
and tagged Asia
, gujarat government
, Gujarat Solar Policy
, Narendra Modi
, Power Purchase Agreement
, Wind Power
, windfall gains
. Bookmark the permalink
Pingback: Gujarat to appeal against solar-tariff cut rejection, citing excessive profits earned by plant owners | Natural Group