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Centre plans 4 solar UMPPs, entails investment of Rs 90,000 cr

According to reports, the Centre has proposed four ultra mega solar power projects (UMPPs) with generation capacity ranging between 2,000 MW and 5,000 MW.

These projects are planned in Rajasthan (4000 MW), Gujarat (4,000 MW), Kargil (2,000 MW) and Ladakh (5,000 MW).

These projects to be developed in phases entail an investment of Rs 90,000 crore.

Tarun Kapoor, joint secretary, ministry of new and renewable energy told reporters at the sidelines of Inter Solar conference that the per megawatt capital cost for proposed UMPPs has been estimated at Rs 6 crore against the existing cost of Rs 7-7.5 crore while the per unit tariff at Rs 5.50.

”The UMPP in Rajasthan will be developed on engineering procurement and construction (EPC) basis.

Six public undertakings including BHEL (26%), Solar Energy Corporation of India Limited (22%), PowerGrid Corporation, Hindustan Salt and Satluj Jal Vidyut Nigam (16% each) and Rajasthan Electronics & Instruments Ltd (3%) will form a joint venture company (JVC) to develop UMPP in Rajathan.

According to Kapoor, BHEL which will be a lead company in the proposed JVC, will manufacture solar panels needed for Rajasthan project.

Kapoor informed that the first phase of 1,000 MW of Rajasthan UMPP is expected to be operational in three years while the entire project in seven years. The land has already been identified. He said the power to be produced from Rajasthan UMPP will be sold to Solar Energy Corporation which will trade it to various distribution companies.

As far as Gujarat UMPP is concerned, it will be developed with five to six companies. However, Kapoor said the Centre has yet to finalise details in this regard. Further, a lot of private developers have desired to develop 1,000 MW to 3,000 MW on their own.

However, it won’t be possible as the project will be tendered, he added. According to Kapoor, transmission is a major issue for the development of Kargil and Ladakh UMPPs.

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