According to reports, India’s cheapest solar power below Rs 3.59 per unit will be produced at the biggest solar power plant of the world in Rewa. So far the cheapest tariff for solar power is Rs 4.34/unit, which is being generated at NTPC’s Bhadla Solar Park in Rajasthan.
Auction for developing 750MW megawatt Solar Power Plant, comprising three units of 250 megawatt being developed in Rewa district, will be held on Thursday. And the plant is likely to be commissioned in 2018.
The unit-wise base prices at which the auction will take place is Rs 3.59 for the first unit, Rs 3.61 per unit for the second unit and Rs 3.62 per unit for the third unit. The base prices were decided on Wednesday “at the online auction, the development contract will be awarded to bidder offering lowest price,” said principal secretary new and renewable energy Manu Shrivastav, adding that 24% of the power produced by the plant will be sold to Delhi Metro Rail Corporation (DMRC). The remaining power will be sold to distribution companies, which would be supplied to consumers.
Earlier 20 developers, both national and international, submitted proposals for developing the park. The bids closed on January 23, and the proposals were evaluated.
“Of the 20 developers’, proposals from two: Shapporji Pallonji and Torrent Power were rejected. The remaining 18 players will participate in auctions on February 9,” Shrivastav said.
The bidders were asked to submit the tariff at which the auction will start. For fixing lowest tariff, a rule was set that the two bidders, who propose highest tariff will not be allowed to participate in the auction. Subsequently, the lowest tariff at which the auction should start as submitted by bidders is Rs 3.59 for the first unit, Rs 3.61 per unit for the second unit and Rs 3.62 per unit for the third unit.