Karnataka state announced its solar power policy that targets an installed capacity of 350 megawatts to be built by 2015-2016.
According to the policy, 200MW of capacity is to be installed till 2016 where the power will be purchased by the ESCOMs. The schedule of the projects has also been give as 40MW a year for 5 years.
The minimum capacity shall be of 3MW and the maximum capacity of 10MW per project for solar PV and the minimum for solar thermal will be 5MW. There is no mention of the quota allotted between photovoltaic and solar thermal technologies.
These projects will be allotted in a reverse bidding auction mechanism similar to the National Solar Mission. Power evacuation shall be through 11kV and above voltage.
Also 50MW is reserved for Central and State Government for setting up solar power projects to be bundled with thermal power from outside the State. This 50MW is in addition to the 200MW.
The remaining 100 MW will comprise projects under the Renewable Energy Certificate (REC) mechanism. Such projects will not receive the preferential tariff under the policy. Instead, the power to be sold to the ESCOMs at the pooled cost of power purchase also known as the average power purchase cost (APPC) .
The maximum tariff for the competitive bidding process will be in accordance with that fixed by KERC in their order dated 13.07.2010 which is Rs. 14.50 for solar photovoltaic and Rs. 11.35 for solar thermal .