AP allow more firms to set up solar plants at Rs. 6.49 provided they submit their applications in the next 4 weeks

Andhra Pradesh Government has decided to permit any company to set up a solar photovoltaic unit in the State assuring them of Rs 6.49 paise per kWh.

Interested solar power developers have been told that they can submit applications within four weeks.

State Chief Minister N. Kiran Kumar Reddy today approved the proposal of AP Transco to give opportunity to all the solar power developers, even to those who have not participated in the recently concluded competitive bidding for 1000 MW. They were asked to submit their applications within four weeks.

They will be offered Rs 6.49 per unit as decided by Group of Ministers (GoM). The decision comes in the backdrop of some solar power developers, who have not participated in the bidding process, have evinced interest to supply solar power at this rate.

M. Sahoo, State Principal Secretary, Energy, while reviewing the progress of solar power projects bidding with AP Transco and New and Renewable Energy Development Corporation of Andhra Pradesh (NREDCAP) said the Government is committed to encourage setting up of non-renewable energy.

The latest decision of the Government is expected to help the State to tap the solar power attracting more developers.

The State’s solar policy for captive use and third party sale offers several incentives. These include exemption of wheeling and transmission charges, cross subsidy surcharges, electricity duty in case of captive use/third party sale, refund of VAT for all inputs required for solar power projects and refund of stamp duty and registration charges for purchase of land.

Of the proposal to encourage 1000 mw through the solar policy, 35 bidders, with a total capacity of about 418 MW, have accepted solar power purchase price of Rs 6.49 per unit.

Source: The Hindu

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
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2 Responses to AP allow more firms to set up solar plants at Rs. 6.49 provided they submit their applications in the next 4 weeks

  1. Pingback: Solar power bidders accept Rs 6.49/unit offer from AP for a total of 418 MW | Natural Group

  2. Pingback: Subsidies hold rooftop solar projects – Lack of funds and no clarity hampering adoption | Natural Group

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