Rajasthan Solar Policy, Projects and Business Opportunities, Rajasthan solar guidelines, cost of 1 mw solar plant in Rajasthan, Solar parks in rajasthan,
FIRE IN GRID SUB-STATION,PROPERTY WORTH RS 3CR DAMAGED
JODHPUR: A major fire broke out at a 400/220 kV grid sub-station in Jodhpur on Monday damaging a transformer completely. Over a dozen fire tenders dowsed the fire in two hours but by then a major portion of the station had been damaged. A worker sustained minor injuries but no human loss was reported.MORE..
SOLAR OFF GRID TENDER PRE- BID MEETING TO BE HELD ON 27TH MAY
A pre-bid conference in reference to this tender is scheduled to be held at 4.00 p.m on 27.5.2013 at conference Hall, Vidyut Bhawan, Jaipur. PV Module Manufacturers and MNRE approved channel Partners may submit their comments/suggestions by fax or mail upto 23/05/2013 more
MORE POWER SHORTAGE IN JAIPUR, AS CONSUMPTION RISES TO 1,600 LAKH UNITS PER DAY!!
JAIPUR: The continued rise in mercury has severely affected electricity supply in the state. In Jaipur when the city witnessed a maximum temperature of 44.6 degrees Celsius for the second consecutive day on Sunday, abrupt electricity supply and power cuts created problems for people residing in the many colonies of the city.
A similar situation was witnessed in the first week of May when the average maximum temperature was above 40 degrees Celsius. However, there was some respite later due to continued rainfall. But the past two days have witnessed scorching heat.MORE..
NEW FUND TO REDUCE COSTS FOR SOLAR POWER PROJECTS
A demand for the creation of a separate window under the National Clean Energy Fund (NCEF) has been made by the industry. It may provide a boost to the country’s domestic solar energy projects by providing easy access to finance for such clean energy technology, the industry has stated in a FICCI white paper.
The paper on reducing the cost of finance for solar energy projects through NCEF has been submitted to the government for consideration.
The Fund was announced in the budget 2011-12 and is expected to be a step for funding research and innovative projects in clean energy technology. The white paper in essence, suggests innovative models for sharing and distribution of risk and cost of financing through NCEF as the cost of financing from the domestic Financial Institutions is high. MORE..
The ministry is gradually running out of funds allocated for giving subsidies , this is a fact .But the advise by FICCI is not germane as it was already commented by joint secretary Tarun Kapoor in RENERGY 2013 in chennai "We are currently getting part of the funds used for subsidy from the National Clean Energy Fund and we are talking to them for more funds," he added.
MAHINDRA SHARES TWO SOLAR EPC CONTRACTS IN RAJASTHAN WITH ENERTIS
Enertis Solar, a Spanish engineering firm, has secured engineering, procurement and construction (EPC) contract from Mahindra Company for two solar projects in India.Under the agreement, Enertis will supervise the two solar photovoltaic plants that are located in Bikaner in the state of Rajasthan and have a capacity of 5MW and 15MW.Enertis Solar CEO Jose Luis Galindo said this agreement marks the company's plant to broaden its know-how, besides aiding developers with its expertise in the sector.
RAJASTHAN TO BECOME SOLAR LEADER!!
Rajasthan is set to play a major role in solar and renewable energy, according to its Governor Margaret Alva.
“Energy is the key to progress. At the same time, it is a big challenge too. Rajasthan is a national leader in solar energy and under the Jawaharlal Nehru National Solar Mission, a majority of the solar projects are located in Rajasthan. In wind energy, India is globally positioned at No. 5, generating 11,000 MW after the U.S., Germany, China and Spain,” she said. more..
REC DELIVERS PANELS FOR 5.8 MW RAJASTHAN SYSTEM !
Developer REC Solar has completed delivery of 23,200 solar panels to a 5.8MW ground-mount system in Rajasthan.The system is located at Gajner, south-east of Bikaner, Rajasthan which is the second state in India to pass the 500MW capacitymark.“We are delighted to have provided REC Peak Energy Series solar panels for this project in record time”, commented Anil Yadav, head of India market, REC. “We expect the plant to operate efficiently for more than 25 years and to reduce CO2 emissions by around 7,272 tons per year.”Built by AEG Power Solutions Group, REC’s Peak Energy Series solar panels are expected to generate over 9,700MWh of solar energy every year. The construction of the installation was completed in just four months from start to finish.
Shantanu Agarwal, executive director of BMD that will operate the plant said: “One of the decisive factors for selecting REC solar panels was that we get the maximum yield which in turn translates to more tradable Renewable Energy Certificates (RECs). Since these certificates have a fixed price in a specific time frame, the aim is to maximise the return of investment within this time period and therefore, REC is the right choice.” MORE..
ACDB, DCDB, Batteries with Chargers, Control Panel etc.
08
String Combiner Boxes
12
Inverter & Control room, Boundary wall work, approach road with water tank
35
Insurance
09
Engineering& Men Power & Out of Pocket Expenses
15
Miscellaneous
Total 695 lakhs (6.95 Crores)
Mounting Structurers (with tracking - Single Axis)
80
Mounting Structurers (with tracking - Dual Axis)
140
Its a known fact that single axis and dual axis tracking technologies provide more than 15% additional generated power. However technical experts choose to operate without both single axis and dual axis tracking systems, simply to avoid any moving part in the plant. They want to avoid the risk of a breakdown ever.
Even CERC has estimated the cost of a solar power plant without taking tracking systems.
There are some newer Tracking systems which claim lower costs and higher efficiencies. Costing less than 10 % of the project cost and providing more than 25 % efficiency. These seem pretty good to go.
Here’s a breakup of the costs for Solar PV projects as recommended by CERC:
SNo
Particulars
Capital Cost Norm for Solar PV project (Rs.Lakh/MW)
% of total cost
1
PV Modules
344.50
43%
2
Land Cost
16.80
2%
3
Civil and General Works
94.50
12%
4
Mounting Structures
105.00
13%
5
Power Conditioning Unit
60.00
7%
6
Evacuation Cost up to
Interconnection point (Cables and Transformers)
105.00
13%
7
Preliminary and Pre-Operative Expenses including IDC and contingency
80.00
10%
Total Capital Cost
805.80
100%
COST OF 1MW WITH CNPV/ CSUN
ITEM
Rs (in lakhs)
Supply, Installation, Erection & Commissioning of Modules
305
Module Mounting Structure and associated civil works
95
Installation, Erection & Commissioning of Inverters
ACDB, DCDB, Batteries with Chargers, Control Panel etc.
08
String Combiner Boxes
12
Inverter & Control room, Boundary wall work, approach road with water tank
30
Insurance
09
Engineering& Men Power & Out of Pocket Expenses
15
Miscellaneous
Total 615 lakhs (6.15 Crores)
This is avoidable , solar power generation is a profitable project. with an investment of Rs.2 Crores one can earn upto 40 crores and more in the ensuing 25 years, so its better to go with tier 1 panels, BOS and practises.
Look for EPCs that use best brands. Best practices. With proven performances.
Not just the best price.
Accelerated Depreciation of 80 % of the capital to companies with tax liability, with AD benefit
REC route ideal for Companies with high tax liability, with AD benefit
Promoter’s equity approx Rs 2.1 cr/ MW
Detailed Project report cost included in the project cost
Bank loan can be 70%, with collateral security from promoter
Project viable even with own capital without bank loan
It takes 6 months to complete a project
As per REC route Rs 12.60/ unit (discom2.60 cdm.70 rec9.30) can be realised
REC price range of Rs9.30-13.40 will be valid till 2017 march. Post 2017 march the price band will be announced by mnre .It is likely to be low to very low approx Rs 2-3.
1 MW can generate approx 1.5-1.7 million units per year "
Govt selling price of electricity to go up to Rs 13 to Rs 14 per unit: The Hindu
CSP plants with molten salt storage add additional value, but this value depends upon multiple factors and has been hard to quantify
The US Department of Energy's National Renewable Energy Laboratories (NREL, Golden, Colorado, US) has released a new report which quantifies the value that concentrating solar power (CSP) with thermal energy storage can add to California's grid.
“Analysis of Concentrating Solar Power with Thermal Energy Storage in a California 33% Renewable Scenario” puts the value of CSP with storage at between USD 0.030 and 0.051 per kWh above that of “baseload” power, and USD 0.032 to 0.040 above solar photovoltaic (PV) generation.
“CSP plants switched on during periods of highest consumer demand for electricity resulted in very high capacity value,” states NREL CSP Program Manager Mark Mehos.
“And the difference in value in CSP plants with and without thermal energy storage depends greatly on the amount of other variable-generation renewable energy sources on the grid, such as wind and photovoltaics.”
PLEXOS model used
The report uses the PLEXOS model to quantify the value of CSP in reducing the need for conventional power generation from fossil fuels.
The operational value of CSP is compared in consideration with avoided fossil fuel, avoided emissions from that fuel, as well as reduced operations and maintenance and power plant start costs.
Use as reserve power offers added value
NREL states that the study demonstrated several valuable properties of dispatchable CSP, such as its ability to generate power during high-value periods when demand is high, and its ability to be turned off during low-value periods.
The agency says that it found “significant” operational value when CSP is allowed to provide reserve power, including frequently operating at less than full load. NREL notes that this would be a substantial change to current operational practices.
Under the constraints of the study, NREL found CSP to have a total value between USD 0.097 and USD 0.135 per KWh.
Through competitive bidding Average but fixed returns Minimum 5 MW Allotment not assured No trading Fixed tariff Limited allotments No Accelerated Depreciation benefit.
Viable only to companies/ countries with lower
time value for money.
REC Projects
Open access High but variable returns Any capacity( some states have fixed lower limits ,allotment is assured) Allotment is assured Certificates to be traded Variable tariff Unlimited allotments due to huge demand
STATES LIKE RAJASTHAN , MAHARASHTRA AND MADHYA PRADESH ARE LEADING IN REC MECHANISM
REC BASED SOLAR PV CAPACITY
STATE
ACCREDITED CAPACITY (MW)
RAJASTHAN
67.75MW
MADHYA PRADESH
24.335MW
MAHARASHTRA
17.15MW
ANDHRA PRADESH
5.75MW
ODISHA
2.5MW
CHHATTISGARH
2MW
TAMIL NADU
1.055MW
(20.05.2013)
PROMINENCE OF REC PROJECTS
As can be seen there is a growing interest to add projects under the REC mechanism. This represents a paradigm shift in the solar market in Rajasthan with many developers gaining confidence in setting up projects under the REC mechanism. Furthermore, the favourable ruling by the RRECL which stated that RPO would be enforced strictly further boosts the confidence levels on investors. All this combined has led to about 70 MW being added to the total capacity base under the REC mechanism in 2013 alone. It is likely that this trend will continue into 2013, with additional projects coming up under the REC mechanism and further capacity additions coming up under the recently announced state solar policy.
It should be noted that all the projects under the REC mechanism have been commissioned towards the end of March 2013 and as such it is likely that the RECs generated from these projects would begin to circulate perhaps from April’s REC trading session onwards. It remains to be seen what kind of impact the availability of RECs from the Rajasthan solar plants has on the REC market since till date, there has been a significant (solar REC) supply deficit.
DISTRICT WISE-INSTALLATION
More than half of the installed capacity is in District Jodhpur, followed by Jaisalmer and Bikaner. The details are given below.
LIST OF SOLAR REC PROJECTS IN RAJASTHAN
Rajasthan has seen a tremendous growth in solar REC projects. There are 12 projects with an average of about 5MW. But, however most projects are below 5MW . More than fifty percent share is by Giriraj Enterpries a tabacco trader. Giriraj Enterpries was the first company to set up a solar power plant under REC mechanism in Rajasthan.
Total Capacity (MW) = 67.75 | Number of Projects = (16)
Sr.No.
State
Energy Source
RE Generator
Project No.
Capacity (MW)
Date of Registration
Date of Accreditation
1
Rajasthan
Solar PV
sanjiv prakashan
001
2
17-05-2013
09-05-2013
2
Rajasthan
Solar PV
Rajasthan Patrika Private Limited
001
2
10-05-2013
16-04-2013
3
Rajasthan
Solar PV
Viney Corporation Private Limited
001
1
26-04-2013
10-04-2013
4
Rajasthan
Solar PV
Aman Home Appliances Private Limited
001
1
26-04-2013
10-04-2013
5
Rajasthan
Solar PV
D J Malpani
001
13
08-04-2013
01-04-2013
6
Rajasthan
Solar PV
Dindayal Commodities Pvt. Ltd.
001
1
08-04-2013
01-04-2013
7
Rajasthan
Solar PV
Chartered Gold Financial Services Pvt. Ltd.
001
0.9
08-04-2013
01-04-2013
8
Rajasthan
Solar PV
Lahoti Overseas Limited
001
2
08-04-2013
01-04-2013
9
Rajasthan
Solar PV
Hasya Enterprises Private Limited
001
0.1
02-04-2013
08-03-2013
10
Rajasthan
Solar PV
BMD PVT LTD
003
5
01-04-2013
06-03-2013
11
Rajasthan
Solar PV
Giriraj Enterprises
001
11
21-03-2013
05-03-2013
12
Rajasthan
Solar PV
Giriraj Enterprises
003
3
21-03-2013
05-03-2013
13
Rajasthan
Solar PV
Giriraj Enterpries
002
19
21-03-2013
05-03-2013
14
Rajasthan
Solar PV
R. H. Prasad & Company Private Limited
001
0.25
01-03-2013
31-08-2012
15
Rajasthan
Solar PV
Impact Solar Power Private Limited
001
1.5
25-02-2013
04-02-2013
16
Rajasthan
Solar PV
Kanoria Chemicals & Industries Limited
001
5
20-04-2012
28-03-2012
(20.05.2013)
Third Party PPA is a power purchase agreement which a developer can use and claim REC. Third party PPA rec is normally got by goverment authorised power trading companies. Companies that set up large solar plants of size 10MW and above, can approach these comapnies to avail the 3rd party PPA for their solar project in rajasthan.
List of inter-State trading licensees or power trading trading companies :
These companies are eligible to provide third part PPA . Third party PPA plus REC route provides probably the best revenue model among the other sources of revenue in Solar energy power generation.Companies in RAJASTHAN desirous of monetizing, having strong balance sheets and are capable of investing in large projects like 15MW and above can reach out to them to get a third party PPA.
COMPANIES INTRESTED IN SETTING UP A SOLAR POWER PLANT
Customized Energy Solution India Private Limited, Pune
GEMAC Engineering Services Private Limited, Chennai
Greta Power Trading Limited .
Green Fields Power Services Private Limited, Visakhapatnam
HMM INFRA LIMITED, Chandigarh .
The Central Electricity Regulatory Commission (CERC) has released (apr 2013) a second set of (draft) amendments to their REC guidelines.
REC and Reverse Bidding/Tendering – Projects which have signed a PPA through any state tendering mechanisms (reverse bidding) would be ineligible for procuring RECs. The objective of REC is to fund the gap between APPC and the viability.
APPC – The guidelines now clarify that the PPA would have to be signed at a price equal to the APPC price which was prevelant the previous year.
Electricity duty and captive generators - CERC has now proposed to remove the electricity duty exemption as a disqualification criterion as the quantum of contribution to final tariff is quite miniscule. The other criteria for disqualification such as concessional wheeling/banking would still be in force.
Time period for availing RECs – current regulations state that there is a three month time window after approval from the SLDC to get the required clearance from the central agency. However since the receipt of information from the SLDC sometimes takes more than three months to reach the central agency, it has been proposed to extend the window to six months. In addition to this, currently the application for receipt of the certificates can be made only on the 1st and 15th of each month. This has been revised to the 10th, 20th and last day of each month.
No cap on minimum capacity – previously, it was proposed that RE power plants with a capacity of 250 kW and above would only be eligible for certificates under the REC mechanism (subject to approval by MNRE) even though the CERC guidelines do not dictate a minimum requirement. CERC has clarified that there is no minimum capacity and that ANY RE generator would be eligible to claim REC provided they satisfy the prescribed criteria.
Retention of RECs – CERC has now clarified that all RECs generated through a RE captive power plant can be retained by the developer (to fulfill their obligations) thereby reducing the overheads which is subject to verification by the SNA.
Shelf-life of RECs – as reported earlier, RECs would now have a shelf-life of two years as opposed to one year and the regulations would be amended accordingly.
Date of issuance – any powerplant setup under the REC mechanism would be eligible for RECs from the date of commercial operation or from the date of registration of such plant by the Central Agency whichever is later.
All RE Generators are requested to pay fees & charges related to Registartion/Issuance inclusive of service tax @12.36% with immediate effect:
1. The details of fees and charges of REC payable to Central Agency are as under:
Registration Charges
Sr.No.
Fee and Charges towards Registration
Amount in
Amount including Service @ 12.36%
1.
Application Processing Fees (One Time)
1,000
1,124
2
Registration Charges (One Time)
5,000
5,618
3
Annual Charges
1,000
1,124
4
Revalidation Charge at the end of five (5) years
5,000
5,618
Issuance Charges (Service tax @12.36% will be applicable on total amount)
Sr.No.
Fee and Charges towards Issuance of REC
Amount in
1.
Fees per Certificate
10
All fees and charges shall be payable by way of Electronic Clearing System (ECS) only and Payment shall be made as per the details given below
Sr.No.
Name of the Account Holder
Account No
Account Type
Bank Name
Branch Name and Code
IFSC Code
PAN of POSOCO
1.
NLDC REC FEES & CHARGES
931764650
Current Account
Indian Bank
Mehrauli Institutional Area & 943
IDIB000M089
AAFCP2086B
Companies Intersted in setting up a solar plant
email <mano@eai.in>
Call Manohar 90435 39679
IDEAL LAND
Lands for solar power generation projects in Rajasthan - ideal lands ?
1 mw of solar power plant will need about 5 acres of land
Agriculutural lands are not allowed to put up a solar generation plant
Non agricultural lands, non cultivable lands, barren lands, puramboke lands etc are ok
Rocky lands are not ideal for solar power generation
Many times soil testing of the land is done before deciding the feasibility
Ideally the land has to be very close to a substation. 11 kva, 33 kva, 66 kva, 132 kva, etc
For a 1 mw plant 11 kva is ok.
For each km the substation is away from your land, one has to incur about Rs 10 /12 lakhs for
laying the transmission lines. Better than that is to buy up the land between your land and the
substation.
If there is some land between your land and the substation, there will ROW ie right of way
issues.
Download google earth and note the longitude and latitude of your land.
If you inform the above information a good Consultant will be able to assess the potential
number of units that can be produced per annum
With the above information, it is possible to make the feasibility report for
the state nodal agencies, as well as detailed project report for the banks for solar
power generation business.
CAPITAL GAINS TAX
At times some land brokers buy agricultural land and sell and want to sell it of as agricultural land itself to avoid short term capital gains tax. It is adivisable for the potenial developers to buy the converted land by sharing the short term capital gains tax with land broker.
MODES OF ACQUIRING LAND FOR SOLAR POWER GENERATION
Got Land for Solar power generation !!
Those of you who have large acres of non cultivable lands in rajasthan near substations and do not have the resources to develop a solar power plant, can register their lands here for
a. out right sale, b. lease for 26 years c. partnership with the power plant and d. any other suggestion from the land owner
We need the following information. Wherever u dont know the information, pl write 'I dont know'
Exact location of the land: Address of land including district and taluk,
Total area in acres
Boundaries marked in google map or in google earth: Mark your land in google map/ google earth and email along with this form.
Right of way. ( ROW)*
Proof of its ownership.
Name, address including district and taluk, mobile no
DNI of the location: If you dont know, send us the longitude and latitude of the lands ( If you dont know, how to get this, say : I dont know)
Type of the land in gov records.
**Agricultural/ non agricultural/ barren/ rocky/industrial/ waste/ dry/ anyother specify
KVA rating of substation nearby and distance.
Capacity available in the substation
List of solar projects in the neighbourhood, if you know.
Rate per acre. ie current market price of land available nearby, adjoining your land
Expected sale price : minimum price expected per acre.
Open for partnership:Open for leasing for 26 years ? Yes / No
Are there lands available nearby : how many acres: how much do these lands cost
* ROW - if you have direct access to the substation, it is fine. But if electricity produced has to go thru the neighbouring lands, that means you have a ROW issue.
** Agricultural lands are not permitted to set up a solar plant, even if there is no water and no agriculture has been done for years.
If you are going to convert, your land from agricultural land to any other, say so.
COMPANIES INTERSTED IN SETTING UP A SOLAR POWER PLANT ,
OFFICIAL FEES FOR SETTING UP A SOLAR PV POWER PLANT IN RAJASTHAN
1. Registration fee to RREC – INR 50,000/ MW
2. Bank Guarantee of INR 20 Lac/ MW & D.D. of INR 5 Lac/ MW to RREC (refundable after project commissioning)
3. Connectivity fee to Discom – INR 2 Lac/ MW
4. Accreditation fee to RREC – INR 20,000
5. Registration fee to NLDC – INR 10,000
6. CEIG clearance fee – INR 32,000/ MW
7. Bank Guarantee for Bay use to RVPNL which is approx INR 5 lac for 1MW project and INR 16 lac for 5MW project (exact amount is to be decided later) (refundable after project commissioning) Service tax or any other tax as applicable as per the Government of India Regulations shall be payable extra.
8. Conversion of Land Use in industrial purpose charges – Rs. 5 per sq. meter
9. Stamp Duty – 6.5% of DLC rate of the converted land
10. Charges for registry – 3.5% of DLC rate of the converted land
5.Solar Power Project Financing
Various options available for getting funding for your Solar Power projects are,
1) Asset / Collateral based Funding 2) Balance Sheet based Funding 3) Project Funding 1) Asset Based Funding: Individuals and Companies In asset based funding the lender provides loan for solar power plants based on valuation of the assets that your company has or you have and that you can offer as collateral security for the loan.
You can even get 100 % funding depending upon the value of the collaterals.
Normally for most projects, the banks may demand 30 % equity and loan can be given for 70%.
Some banks in Hyderabad , demand 35 % equity. But if the value of the collateral is high, it can be as said before, 100 % loan..
Many banks ask for Urban property as collateral. It is not actually necessary. Once the banks get used to the performance of solar power generation plants, they will minimise the need for collaterals.
Already many banks are accepting less than 70 % of collaterals when the projects are pledged.
2) Balance Sheet Based Funding: Companies only The profit that your company has made in the last three years. The reserves and surplus it has etc will be taken into account and the bank can then fund.
Companies that can avail Accelerated Depreciation for solar power generation will find it easier to avail loans and lower rates.
Companies should note that it is not a fixed rate of interest. Good rapport based on good performance in the past can bring the interest percentage down.
3)Project Funding: Companies and Individuals The projected cash flow of the project or more specifically the PPA will determine the decision to fund. Payment security is important. Many of these types of funding can be got from India as well as from abroad.
With hedging the cost of international funds also tend towards 11% . Indian banks are now getting closer to 12.5 % and if the asset / balance sheet / ppa are sound one could look at lower rate of interest.
The project cash flow is much better in companies that can avail accelerated depreciation for solar power generation.
COMMISSION FOR GETTING BANK LOAN.
There are many Chartered Accountants who help individuals form a company and they also act as agents to get bank loans.
Commission for getting bank loan is approximately 1- 2% at present in rajasthan.
These agents normally help put the loan application for solar power generation plant and submit with two to three banks. This helps them get the best interest rate for solar power generation plants in AP.
For companies, this may not be the ideal route, as they themselves will have a finance /accounts department with access to several banks. Whereas for individuals and NRI's, it makes more sense to go thru such chartered accountants who also help get loans, than trying it on their own.
Individuals, can try on their own, if they have 30% or more equity and or good collaterals. They can then go to more than one bank and try to get the best rate of interest.
CHECK LIST FOR COMPANIES AND INDIVITUALS FOR GETTING BANK LOAN TO SET UP A SOLAR POWER PLANT IN RAJASTHAN
Solar power plant projects for loan proposal are new to rajasthan and particulary to the bankers.It is difficult for them to comprehend a business proposition with no raw material and little capital like a solar power generation project.After a few years, once several loan sanctions happen for solar power projects. The process will become mores simple as the bankers will have a better idea.
A. CONSTITUTION:
A unit can be started in any one of the following constitutions i.e.
(1) Sole Proprietary Concern,
(2) Partnership Firm,
(3) Private Limited/Limited Companies,
A. CONSTITUTION:
A unit can be started in any one of the following constitutions i.e. (1) Sole Proprietary Concern, (2) Partnership Firm, (3) Private Limited/Limited Companies, (4) Societies.
GENERAL REQUIREMENT CONSTITUTION-WISE
1. Proprietory Concern
Bio-data of the proprietor by way of copies of PAN Card/ Passport/ Voters identity card/ Bio-data with photo and signature attestation by Gazetted Officer/Bank Manager.
2. I Partnership Firm
a. Copy of Partnership Deed
b. Copy of Firm Registration Certificate
c. Extract of Form-A from Registrar of Firms (for old firms and in case of additional loans) regarding existing partners as on date.
d. Bio-data of partners by way of copies of PAN card/passport/voters identity card/bio data with pass port photograph and signature duly attested by Bank Manager/Gazetted Officer.
3. Private Ltd Companies or Public limited companies applying for a loan for solar power generation plants
a. Memorandum & Articles of Association.
b. Bio-data of Promoter Directors affixing colour photo and duly attested by Bank Manager/Gazetted Officer/Copies of PAN Card/Copies of Passport./voters identity card.
c. Resolution of Board of Directors of the company authorising two directors to raise loans from agencies and sign necessary loan security documents and affix common seal thereof.
d. Copy of certificate of incorporation if it is a Private Limited Co.
e. Copy of Certificate of Incorporation and Commencement of Business in the case of Limited companies.
f. Copy of General Body Resolution u/s.293 (i) (d) of Companies Act in case of Limited Companies, permitting the company to borrow in excess of paid-up capital and free reserves and Resolution u/s.293 (1) (a) of Companies Act for mortgaging the fixed assets of the company in favour of the Corporation.
g. Consent letters from the Directors about furnishing of their personal guarantee with copies of property documents.
h. Search Report from CA/Extract of register of charge from ROC in case of existing companies and companies seeking additional loans.
B. PRIMARY SECURITY:
The primary security can be either leasehold interest or freehold interest . If the unit is going to be started in a leasehold premises, it is called leasehold and if the unit is going to be started in own premises, it is called freehold.
In case unit is coming up in a leasehold premises, the Corporation will insist for equitable mortgage of leasehold interest. If there is no loan on civil works, the lease period shall be repayment period plus two years. If loan is provided on the civil works then lease shall be for a period of 30 years. Please note that lease for any period is compulsorily registerable affixing required stamp duty. Then the documents that are required are as under:
a. Registered Lease Deed in the standard format given by agencies for the period prescribed in the sanction letter i.e. loan period plus two years if no loan is provided on civil works and if loan is sanctioned on civil works, 30 years lease deed is required.
b. Copy of lessor title deed in proof of ownership and in the absence of title deed, revenue records or ownership certificate issued by local Government or property tax receipts.
For creation of equitable mortgage in case of freehold interest in land and buildings.
If vacant land is acquired and buidings are to be constructed:
a. Original Regd. title deed in the name of the Proprietor/ Firm / Company along with certified copy having clear approach road.
b. Pattadar Pass Book/title deed issued by MRO/RDO in the name of the proprietor/firm/company/society.
c. Original/Copies of link documents (Vendor’s title deed) pertaining to the property under the scheme along with copies of Pass Book and Title Deed reflecting the sale entry. If pass book and title deeds are not issued, a certificate from MRO to that effect is required.
d. Extracts of revenue records i.e. Khasra Pahani for 1954-55
f. E.C for 13 years (or) from the date of document if title deed is of beyond 13 years to the date of deposit disclosing all transactions.
g. ULC permission u/s.26/exemption under ULC Act as the case may be in case the land is within urban agglomeration.
h. Permission from Urban Development Authority/ Building Plans if the site is within the Master Plan of Urban Development Authority.
i. Affidavit by promoters to the effect that there are no court cases pending against the property under the scheme.
C. COLLATERAL SECURITY:
Generally, the Corporation insists for Collateral Security and the percentage of Collateral Security is dependent upon the location and the nature of industry and the nature of loan. Also the Corporation insists for preferably urban immovable property towards Collateral Security and preferably belonging to the borrowers. The Collateral Security can be either in the form of vacant land, house, apartment, fixed deposits, Bank Guarantee.
If it is vacant land:
a. Original Regd. title deed in the name of the surety along with certified copies.
b. Original link documents (Vendor’s title deed). c. Extracts of revenue records i.e. Khasra Pahani for the year 1954-55
e. E.C for 13 years from the date of document and in case title deed is beyond 13 years from the date of document to the date of deposit disclosing all transactions.
f. ULC permission u/s.26/exemption under ULC Act as the case may be in case the land is within urban agglomeration.
g. Copy of the Approved Layout/Sketch drawn by Mandal Surveyor demarcating the site/plot with Sy.No and boundaries and a land mark for identification.
If it is house:
a. Original Regd.Conveyance Deed along with certified copy. b. All the relevant Link Documents. c. EC for 13 years (or) from the date of document in case title deed is beyond 13 years to the date of deposit disclosing all transactions.
d. Tax Demand & Receipt/Ownership Certificate/ Extract of property tax demand register for the last 13 years.
e. Approved building plans from Competent Authority.
If it is an Apartment:
a. Original Registered Sale deed in the name of the surety.
b. Copy of the development agreement and link documents.
c. Copy of the approved building plan.
d. Encumbrance Certificate for the last 13 years.
e. It shall be established that the original title deeds of the project are not mortgaged to bank or any financial institution availing project finance, by way of declaration from Builder/Landlord.
f. Mutation in favour of the surety.
g. Tax Demand and Receipt / Ownership certificate/ EPPDR.
Fixed Deposits as collateral for loan for a solar power plant
a. The beneficiary/payee of fixed deposit should give a consent letter for pledging the fixed deposit with the Corporation as Collateral Security in consideration of sanction of loan to the unit to which the security is being offered.
b. The beneficiary/payee of the fixed deposit should also assign the proceeds of fixed deposit in favour of the Corporation by a proper endorsement by the concerned bank.
c. A discharge voucher from the beneficiary/payee of fixed deposit duly affixing necessary revenue stamp (without mentioning the date) on the backside of the FDR.
Bank Guarantee:
Individuals who have good banking record and good rapport with the local bank can get bank guarantee to the lending bank.
Such bank guarantees can be considered as collaterals.
The collateral security can be offered by the borrower by way of Bank guarantee also in such a case the following documents shall be submitted:
1 Bank guarantee executed by the concerned Bank on required stamp paper by the authorized signatories of the Bank affixing their rubber stamp containing the serial number of the signatory as per the Bank rules.
2 A confirmation copy shall be forwarded by the Bank Manager to the Corporation in a sealed cover by post.
3 A letter from the Bank that they will pay the amount in case the Bank guarantee is invoked in time.
4 If the amount guaranteed is Rs.1.00 lakh and above, the Guarantee Agreement shall be signed by 2 Authorised Officers of the Bank.
Format for Bank Guarantee
(To be furnished on non-judicial stamp paper of appropriate value as per Stamp Act relevant to place of execution.)
(Note: - Bank Guarantee is to be submitted “on or before estimate processing for evacuation of power generated(A) or before executing any agreement for wheeling/sale of power generated(3 rd party/captive/pooled cost)(B) or 45 days from issuance of technical feasibility, whichever is earlier (A/B/C)” and the bank guarantee amount is Rs.2 lakhs per MW.)
The purpose of this bank guarantee is for early completion of the project within two years from the date of issuing of this Bank Guarantee.
This bank guarantee is valid for two years and two months till the date------------ with additional claim period of one month till the date…………….
In consideration of the ----------- [Insert name of the solar power developer ] (herein after referred to as solar power developer) submitting the proposal for establishment of solar power project of the capacity of ______ MW, at …………[Insert the location], for supply of solar power to APCPDCL (herein after referred to as DISCOM) under third party sale / captive utilization purpose / pooled cost sale to Discom.
This guarantee shall be valid and binding on this Bank up to and including ___[Insert Date]___________ and shall not be terminable by notice or any change in the constitution of the Bank or the term of contract or by any other reasons whatsoever and our liability hereunder shall not be impaired or discharged by any extension of time or variations or alternations made, given, or agreed with or without our knowledge or consent, by or between parties to the respective agreement.
Our liability under this Guarantee is restricted to Rs._______(Rs._ only). Our Guarantee shall remain in force until _[Insert date] / The DISCOM shall be entitled to invoke this Guarantee till[Insert date].
The Guarantor Bank hereby agrees and acknowledges that the DISCOM shall have a right to invoke this PERFORMANCE BANK GUARANTEE in part or in full, as it may deem fit.
The Guarantor Bank hereby expressly agrees that it shall not require any proof in addition to the written demand notice by DISCOM, made in any format, raised at the above mentioned address of the Guarantor Bank, in order to make the said payment to DISCOM.
The Guarantor Bank shall make payment hereunder on first demand without restriction or conditions and notwithstanding any objection by -------------[Insert name of the Solar Power Developer] . The Guarantor Bank shall not require the DISCOM to justify the invocation of this PERFORMANCE BANK GUARANTEE, nor shall the Guarantor Bank have any recourse against the DISCOM in respect of any payment made hereunder
This PERFORMANCE BANK GUARANTEE shall be interpreted in accordance with the laws of India and the courts at Rajasthan shall have exclusive jurisdiction.
The Guarantor Bank represents that this PERFORMANCE BANK GUARANTEE has been established in such form and with such content that it is fully enforceable in accordance with its terms as against the Guarantor Bank in the manner provided herein.
This PERFORMANCE BANK GUARANTEE shall not be affected in any manner by reason of merger, amalgamation, restructuring or any other change in the constitution of the Guarantor Bank.
This PERFORMANCE BANK GUARANTEE shall be a primary obligation of the Guarantor Bank and accordingly the DISCOM shall not be obliged before enforcing this PERFORMANCE BANK GUARANTEE to take any action in any court or arbitral proceedings against the Solar Power Developer / Project Company, to make any claim against or any demand on the Solar Power Developer / Project Company or to give any notice to the Solar Power Developer / Project Company or to enforce any security held by the DISCOM or to exercise, levy or enforce any distress, diligence or other process against the Solar Power Developer / Project Company .
The Guarantor Bank acknowledges that this PERFORMANCE BANK GUARANTEE is not personal to the DISCOM and may be assigned, in whole or in part, (whether absolutely or by way of security) by the DISCOM to any entity to whom the DISCOM is entitled to assign its rights and obligations under the PPA dated: .
Notwithstanding anything contained here in above, our liability under this Guarantee is restricted to Rs. _________(Rupees ___________ only) and it shall remain in force until [Insert date] with an additional claim period of thirty (30) days thereafter. We are liable to pay the guaranteed amount or any part thereof under this Bank Guarantee only if the DISCOM serves upon us a written claim or demand.
Signature
D. GENERAL GUIDELIENS:
a. If the borrower is proposing to purchase the property standing in the name of minor, permission from the Court shall be obtained. b. For purchase of land, which is an Inam land, occupancy certificate/Form-B patta from competent authority shall be obtained.
c. Assigned lands should not be purchased without prior written permission of RDO.
d. For purchase of joint family property, the borrower should ensure that all the co-parceners of the vendor family join in the execution of the sale deed.
e. For purchase of lands covered under Master Plan of the respective Urban Development Authority, the borrower shall ensure that the proposed land is falling within the Industrial Zone.
f. If the borrowers are seeking loans on land & buildings, the borrower shall purchase the lands in the name of proprietor/firm/company/ society as the case may be.
g. Generally, the Corporation will not accept third party collateral security.
The following are the loan security documents to be executed by the borrowers in favour of the Corporation and the required documents for a particular loan are to be taken from amongst the documents mentioned below:
1. Deed of Hypothecation 2. Memorandum of Deposit of Title Deeds 3. Guarantee Agreement 4. Loan Agreement 5. Promissory Note 6. Assignment of Development Rights
SANCTION
Brief project report
Copy of ssi registration certificate
Bio-data of proprietor / partners / directors with 2 pasport size colour photographs as per proforma alongwith copies of certificates regarding academic qualifications, experience etc.
Solvency declaration of proprietor / partners / directors as per proforma (on rs.20 non-judicial stamp paper)
C0py of partnership deed & firm registration in respect of firms/memorandum and articles of association & certificate of incorporation in respect of companies.
Copy of land sale deed/ sale agreement / allotment letter of apiic ltd.
Building plans (approved plans in respect of hotels/nursing homes/commercial & residential complexes proposals)
Civil estimates
Letter from the lessor expressing willingness to let out the building and execution of regd. Lease agreement for 7 years in the unit is proposed in leasehold buildings with rough plan.
Quotations for machinery and equipment from standard suppliers alongwith comparartive quotations.
Copy of panchayat / municipal approval.
Copy of power feasibility letter from a.p.transco.
Copies of collateral security property documents.
Working results (audited balance shdeets and profit & loss accounts) for the last 3 years in respect of existing units and the provisional for the current year with all schedules.
Working results (audited balance shdeets and profit & loss accounts) for the last 3 years of associated concerns of promoters.
Particulars of available assets (land, buildings, machinery) in respect of existing unit.
Other details such as raw material & market tie-ups, technology tie-up with background of technical consultant etc.
Other details such as raw materials and slaes invoices, list of major customers, particulars of orders on hand etc.
Service charge @ 0.5% of loan applied 12.36% service tax on the service charges at the time of filing the application.
Upfront fee @ 0.5% of the loan sanctioned 12.36% service tax on upfront fee at the time of first disbursement.
4) GET Accredition from local NLDC. GET “ flow study “ approval from Transco. Prepare DPR
5) PPA copy to be there in the DPR or bank loan application. Get permission to feed power to the T&D network
Bank loan application to have
1) Proof of Land Ownership , patta, unencumberance certificate 2) DPR, 3) PPA / 4) Company incorporation certificate by an auditor 5) Bank Balance in the new bank account.
Equity funding: This is probably the best way to fund and manage a solar power project. Not many developers will have their own funds.
Pre financing by EPC companies: This can be done by EPCs.But mostly most EPCs operate on tight budgets. The profits in EPC business is not much and hence to expect funding from them is not right.
Suppliers credit : Normally given by module manufacturers from usa and china to large customers, it is not equity funding, but it helps a lot. It is also possible to get such credits from Inverter makers and Tracking systems makers. That is in case you are going for a tracking system. Especially those tracking systems that claim over 25 % increase in efficiency can afford to give some credit as they can recover their money from the increased power generated. Many of these companies are funder by VCs and may have provision to give suppliers credit.
Non-recourse project financing –
This is the preferred financing structure, wherein the lending institutions would provide debt to a special purpose vehicle set-up for the project and would have a lien on the project’s cash-flows. However as this structure does not provide recourse to the developer’s balance sheet, lending institutions require rock-solid agreements for revenues from the projects. The above structure gives an option for obtaining non-recourse Project Financing. However the developer needs to ensure that the following are in place to make the
lending institutions comfortable Performance – Contractual guarantees from technology providers for the long-term performance of the plant revenues – Long-term power purchase agreements with credible consumers, i.e. direct power sale to the consumer. As discussed above, the current structure of the JNNSM PPA may not be bankable due to the credibility of many states. The government has been contemplating a tri-partite agreement between the developer, state discom and the Reserve Bank of India to ensure the PPAs bankability, however this is not confirmed yet.
RenewableEnergy Certificate – developers can forego the preferential tariff and trade the RECs on the energy exchange. However the market is in its nascent stage and depends on the state’s renewable purchase obligations.
Project viability – In addition to the above, developers must convince lenders that projects are viable and have the capability of repaying debt without outside assistance. This could mean that the project has to fund a Debt-Service-Reserve-Account in addition to having healthy
Debt-ServiceCoverage-Ratios.
Other options for financing
Other non-conventional options for financing include:
EXIM financing – the United States export-import bank provides financing for
projects which import a substantial part of the project components from US.
This is a good option in case the main technology provider is from the US and has relations with the EXIM bank. This is primarily with First solar and Exim Bank.
Nowadays, EXIM Banks extends loans for Mia Sole products too.
Both are thin films, which work well in Rajasthan’s hot and dry conditions.
Only those contemplating large projects can look at this option.
Foreign funding – Large project developers can tap international banks to get
lower rates of finance. However, hedging can put a substantial dent in the rate differential and only someone ready to take the currency risk should resort to this option.
The idea of collecting large number of small projects and approaching exim bank or LIbor , doesnt make much sense. it can probably operate as suppliers credit. At best.
SBICAPS SBI Capital Markets (SBICAPS)
finances solar projects. Foreign banks in general are open to lending to Indian investment banks for a portfolio of similar projects. This debt is then passed on to the developers with a margin and a hedging charge. The actual lending to the developer takes place based on RBI guidelines.
SBICAPS has been involved with the financing of projects developed by Tata Power Co., Kiran Energy, Sunborne, Alex Astral and Acme Tele Power.
There are other investment banks operating in India include the
Bank of America,
Barclays Capital,
BNP Paribas,
Lazard,
Credit Suisse,
Export credit agencies / International investment cum insurance agencies US EXIM 0.7% (LIBOR27) 3.5% (Margin) 6.5% (Hedging) = 10.7% Loan Up to 80�sed on value of imports 9 – 16 years duration Approx. 1.45 DSCR
Borrowing from the US EXIM bank has certain limitations for projects.
The total consideration of project cost for debt can only be a maximum of 30% over and above the cost of imports from the US. As this financing option is usually based on module imports and prices for modules account for only around 40% of the total project cost, the developer will need to club a US EXIM loan with another source of finance, thereby potentially increasing the cost of procuring debt. The timelines for financial closure for projects under different policies in India range from six to eight months. TUS EXIM bank can take between six to nine months to process loan requests. Developers aiming for a US EXIM loan usually have to arrange for alternative bridge financing The long processing time is attributed mostly to the lengthy legal, technical and financial due diligence undertaken by the bank. The due diligence increases transaction costs. US EXIM financing is ideal for projects of size 10 MW and above. Only such projects can bear the high transaction costs. Moreover, to qualify for US EXIM financing, the project developer must import modules and in some cases other equipment from the US.
Important International export credit agencies/export insurance agencies are: Euler Hermes Kreditversicherungs-AG (Germany), China Export & Credit Insurance Corporation (China), Nippon Export and Investment Insurance (Japan), Korea Trade Insurance Corporation (South Korea), Swiss Export Risk Insurance (Switzerland), Export Finance and Insurance Corporation (Australia), OesterreichischeKontrollbank AG (Austria), Export-Import Bank of Malaysia Berhad, (Malaysia), Export Development Canada (Canada), Hong Kong Export Credit Insurance Corporation (Hong Kong).
OPIC The Overseas Private Investment Corporation (OPIC)is the U.S. government’s development finance institution. OPIC supports solar in India by providing financing, guarantees, political risk insurance, and support for private equity investment funds. OPIC has committed Rs 55 billion to the renewables sector globally last year and nearly one-quarter of it had been earmarked for India. OPIC is involved in financing of projects by Azure Power and Sun Edison in India.
IREDA The Indian Renewable Energy Development Agency (IREDA) is a development funding institution but operates as a NBFC under the administrative control of MNRE for providing term loans for renewable energy and energy efficiency projects.
IREDA has a Rs 13 billion of credit from KfW for a broad mandate of promoting renewable power in India but has not been particularly active in financing utility scale solar projects till date. IREDA also provides loans to other banks at interest rates as low as 2-5% so as to incentivize them to finance renewable projects. Your bank manager can work with IREDA to get low cost funding. It is a less known and less used route.
ADB ADB provides financing support under the India Solar Generation Guarantee Facility (ISGGF), under its Asia Solar Energy Initiative (ASEI) . Apart from providing debt as per ADB’s LIBOR-based lending facility towards solar transmission infrastructure in Gujarat, ADB also considers direct financing and/or guarantees for projects greater than 25 MW. Reliance Power’s 100 MW CSP plant has been partially financed with both debt and equity participation by ADB. Under ISGGF, ADB provides partial credit guarantees (PCGs) available to local and foreign commercial banks that finance private sector solar power plants in the country. This guarantee covers up to 50% of the payment default risk on bank loans made to project developers. Currently, two commercial banks have been approved by ADB as eligible partner banks: L&T Infrastructure Finance Company Limited (India) and the NorddeutscheLandesbank (abbreviated Nord/LB, Germany). ADB aims to support 3 GW of solar power capacity in developing member countries by May 2013.
KfW and DEG Germany’s KfW and DEG are also invest in the Indian solar market. KfW is involved in lending to a 125 MW project by Mahagenco in Maharashtra and DEG has provided Rs 6.80cr risk capital in the form of Compulsory Convertible Debentures (CCDs) to Azure Power Other active sources for funds Japan International Cooperation Agency (JICA), U.K Department for International Development Cooperation (DFID), Netherlands Development Finance Company (FMO), the European Bank for Reconstruction and Development (EBRD), the European Investmet Bank (EIB) and the Islamic Development Bank (IsDB)
Indian banks are being very conservative, insisting on 1.2-1.3 DSC ratio. For project economics to look more attractive to developers, DSC ratios should be at a minimum of 1.1-1.15. At this rate, the attractiveness of several projects begins to change substantially.
L&T Infrastructure Finance Company (subsidiary of L&T Financing Holdings),
Power Finance Corporation (PFC),
Mahindra Finance,
IDFC,
IL&FS,
SBI Capital Markets and
Indian Renewable Energy Development Agency (IREDA).
US EXIM bank an active Export Credit Agency (ECA). IFC,
a member of the World Bank Group
has provided financing for projects by developers such as Green Infra, Mahindra Solar, Azure Power and SunEdison India.
ADB provides financing support under the India Solar Generation Guarantee Facility (ISGGF), under its Asia Solar Energy Initiative (ASEI) to promote the development of solar energy in India. Currently, two commercial banks have been approved by ADB as eligible partners: L&T Infrastructure Finance Company Limited (India) and the Norddeutsche Landesbank (abbreviated Nord/LB, Germany).
REC- RENEWABLE ENERGY CERTIFICATE
Checklist to be submitted by State Agency to Central Agency:
To be submitted on letter head of concerned State Agency
Checklist to be submitted by State Agency to Central Agency while recommending project for Registration under REC Mechanism
Name of RE Generator:
Accreditation Number:
Source :
Total Capacity of Project (MW)
Accredited Capacity (MW)
Accredited Capacity under third party/ APPC sale (MW),
if applicable
Accredited Capacity utilized for self consumption (MW),
if applicable
S.N.
Checklist
Yes
(Please tick, if applicable )
No
(Please tick, if correct)
Remark / Any other information
1.
Is RE Generator opting for third party sale
Is RE Generator selling power to discom at APPC
2.
Is RE Generator a CPP opting for self consumption
3.
Is RE Generator a CGP opting for for self consumption
4.
Whether all procedures for accreditation according to CERC REC Regulations and approved REC Procedures have been followed
In case RE Generator is CPP/ CGP/ RE Generator opting for REC Scheme for self consumption then please provide following details:
a
Whether electricity duty is leviable and being paid. If not, then reasons along with documentary support be furnished by the said CPP/CGP/RE Generator
b.
Whether benefits of concessional/promotional transmission or wheeling charges are availed
c.
Whether banking facility benefit is availed
It is also certified that all procedures for accreditation according to CERC REC Regulations, approved REC Procedures have been followed at our end.
Place: Name of Authorised Signatory
Date: Name of State Agency
POINTS TO REMEMBER:
•All communication regarding REC Mechanism is to be addressed as follows: "The Nodal officer, REC Mechanism,1st Floor National Load Despatch Centre (NLDC) office,Power System Operation Corporation Limited (POSOCO),B-9, Qutab Institutional Area, KatwariaSarai, New Delhi-110016".
•All dak regarding REC Mechanism shall be accepted only through services of India Post and no dakshall be accepted by hand or through courier services.
•The Application(s) for issuance of RECs/Registration of Project or other issues should be sent by the RE generator(s) on individual project basis and the name of the RE Generator and 'Accreditation number' / 'Registration number', as applicable has to be clearly stated on the envelope.
REC NEWS
Rajasthan gets largest solar REC project
An Indian company has built solar generators capable of producing up to 33 MW of energy, the largest to be undertaken under the nation’s new Renewable Energy Credits scheme. Giriraj Enterprises Ltd. started output from 3 projects last week with three generators producing 19, 11 and 3 MW (totaling 33MW) of energy, all located within the western state of Rajasthan.
Under the country’s new Renewable Energy Credits scheme, companies like Giriraj, a tobacco trading giant, are investing in solar generators to produce clean, renewable power. The new scheme forces state power distributors to buy a portion of their electricity from clean sources, resulting in profit for those companies capable of putting the infrastructure in place to yield this clean energy.
The Tobacco trader has signed a power purchase agreement (PPA) with a local state-owned electricity distributor in Maharashtra state, enabling them to sell electricity at an average price of 2.7 rupees a unit. The company is hoping to trade up to 53,000 units a year.
Indian demand for renewable-energy credits, or RECs, almost tripled last month to 435,481 as the fiscal year drew to a close, making the business scheme a profitable one. Solar credits can be sold for up to 13,400 rupees apiece on the Indian Electricity Exchange, according to REConnect Energy Solutions Pvt.
Bharat Bhushan, a New Delhi-based analyst, is however surprised to see such large investment from private companies in the Indian REC market, considering it to be, “risky and unpredictable”, recently stating, “Thirty-three megawatts is the largest solar REC project in India, it is not a normal practice to see such large investments in solar RECs.” source
Companies interested setting up a solar power plant in rajasthan
email < mano@eai.in >
Call Manohar 90435 39679
STATEWISE APPC
State
Current purchase price by state discoms/ ebs
Rs/Unit
Andhra Pradesh
2.50
Gujarat
2.98
Haryana
2.77
Himachal Pradesh
2.23
Karnataka
2.66
Kerala
1.99
Madhya Pradesh
2.09
Maharashtra
2.62
Punjab
2.71
Rajasthan
2.60
Tamil Nadu
3.38
Uttarakhand
2.34
Uttar Pradesh
2.62
West Bengal
2.43
ACCELERATED DEPRECIATION
What is Accelerated Depreciation in solar power generation and how I can benefit from it?
There is nothing called Accelerated Depreciation in solar power generation or for that matter in any other field.
Atleast the IT ACT af nd the Ready Reckoner does not talk about it.There is no such term in the glossary, in the appendix nor in the contents.
Depreciation is 20 % on plant and machinery for any business.In the case of solar energy generation, in order to incentivize the
Entrepreneurs to enter into the solar energy generation market, the Government of India has allowed claiming of 80 % of the depreciation
In year one of the commissioning of the solar power generation plant.If a solar power generation plant costs Rs 7 crores,
the company setting up that plant can claim 80 % depreciation in the first year itself.
Depreciation of 80 % is allowed on plant and machinery of the solar power plant is allowed.
Deducting Rs 20 lakhs from the project cost – approximately for land costs – which are eligible for only 10 % depreciation, we get Rs 6.80 cr
80 % of this is Rs 5.44 crores. Which can be depreciated in a new solar power generating plant in year one itself. This is what they call Accelerated Depreciation.
33% of Rs 5.44 cr is about Rs 1.81 cr.
So, in a solar power generation plant of Rs 7 crores, Rs 1.81 cr is the tax saving that one gets using Accelerated Depreciation. AD benefit in year one is Rs 1.81 cr.
So, the actual project cost for an AD client is Rs 5.19 cr
*Can a group company of a tax paying co set up a solar plant and claim depreciation ?
It is a case of set off of laws under the same head of income ( section 70 of the income tax act) . there are 6 heads of income under the income tax act.
Section 1961)
There are 5 acts of income under which income of assessee is being assessed under the income tax.
Income from salaries
Income from house properties
3. Profit and gains of business of profession
Income from capital gains
Incme from other sources
It is a case of income under Profits and gains of business and profession
And as per section 70 of income tax act, set off of laws under the same head of income can be done.
It means a group company which is tax paying on account of business or profession can set off its loss under
the head business or profession arised from solar activities can be set off.
*How do we claim the AD for a solar power generation plant ? By regular tax returns or is there any special form for claiming the Accelerated Depreciation for a solar power generation plant ?
The rate of depreciation allowed under the income tax for solar power generationunits is 80 % and it is a normal rate of depreciation. So we have to file the regular tax returns only.
There is no special form prescribed for claiming the depreciation benefit.
What solar energy devices , equipment and processes that are eligible for 80 % accelerated depreciation ?
Flat plate collectors
Concentrating and pipe type solar collectors
Solar cookers
Solar water heaters and systems
Solar crop driers and systems
Solar refrigeration,
Solar cold storages
Solar airconditioning systems
Solar desalinatin systems and solar steels
Solar power generating systems
Solar pumps based on solar thermal
Solar pumps based on solar pv
Solar pv modules and panels for water pumping
*What is this stipulation of 31st march and sep 1 in the claiming of Accelerated Depreciation benefit for a solar power generation plant?
As per income tax provision, if an asset is put to use for less than 6 months , only the 50 % of the prescribed rate of depreciation is allowed to be deducted from the profits of business. It means if the asset is put to use for more than 6 months , even for a single day more than 6 months ,the 100 % of the prescribed rate of depreciation will be allowed to be deducted from the profits of the business.
Many times a group of companies come to gether to bid for solar power generation projects of state governments or for JNNSM . How will a consortium plan the depreciation ? Is it enough if one of the companies have tax liability ? What happens if a foreign company has tax liability in its country ? Or will only the Indian tax liabilities will be taken into account ?
In case of consortium agreements,the consortium is normally formed for the purpose of capital infusion, or if there is any statutory requirement as in the case of Foreign cos.Normally after a successful bid, the consortium is asked to form a new company to take up the project. In that case all the assets are purchased by the new company the benefit of depreciation will go to the new company.
*Can individuals set off depreciation benefit in a partnership firm?
No. Any individual having any profit or loss cannot be assessed in the hands of a partnership firm in which he or she is the partner. So the benefit of depreciation in the case of an individual cannot be passed to the partnership firm. But as per section 70 of income tax act a loss because of business or depreciation can be set off under the same head of income. It means if an individual is having income under the head business or profession he/she can set off her business loss arises out of solar business .In other words an individual having huge business profits can enter into the business of solar power generation for the benefit of claiming higher depreciation so that his or her tax liability can be minimized.
*Is there a standard price for depreciation ?
Cost of the plant and machinery will be basis of calculating depreciation.
*For how many years does a small solar company stands a chance to get bought?
Only infrastructure companies can buy to avail the section 80 IA. Even after absorption of full depreciation, the small co can be an attraction of purchase because of its tax free income up to 15 th year from the commencement of production.Assume an income of Rs 1.5 cr per annum and its cost of set up of plant was 7 cr so the purchase price solar power generation unit will be based on tax free income ie 1.5cr against the cost of plant rs 7 cr.So that deal will be concluded on the basis of irr.
*For its depreciation potential besides its normal business returns ??
*A partnership solar company, can it sell a part and let the buyer benefit from sellers share of depreciation ?
No.
*Is there any lock in period for solar cos before they can sell?
NO.
*What are the bulldings in a solar plant ?
Building is only an office. Not the rooms of inverter . it is plant and machinery.
*Can the Government suddenly change the depreciation policy with relevance to solar power generation ??
Gov can change THE RATE OF DEPRECIATION ANYTIME. rate of depreciation is announced one year before by the income tax dept.
*Wouldn’t that be a threat to small firms which haven’t claimed their depreciation?
Gov can change THE RATE OF DEPRECIATION ANYTIME. rate of depreciation is announced one year before by the income tax dept.The plant established in that particular year cannot be denied the rate of depreciation as per the existing rate of depreciation.As the loss gets carried forward, the small firms nor the big cos stand to lose.
*What all constitute plant and machinery in a solar plant ?
*Isnt everything other than land is depreciated ?
YES
*When are the profits from a solar plant taxable?
After 15 years
*Doesn’t it make sense to hike the project cost for a solar plant so as to avail the extra benefit from accelerated depreciation benefit ?
Yes. but the banks are clever to find out. Setting up such a solar power generation plant with an eye on gaininig extra from Accelerated Depreciation , will result in the Bankers viewing the project with a suspicious eye. Because there are so many other solar projects that are coming up , the bankers will have an idea already.
*A solar company makes about Rs 2 crores in a year. By this depreciation rule it gains 33 % for an existing tax paying company . Does it make sense to borrow money at 14% ( for equity) to build a plant?
What are the opportunities for a small solar co with its depreciation ?
After claiming 80 % depreciation, the plant fails? What happens ?
The plant is commissioned, it produces power for a few days / months and after that it fails. Can depreciation be claimed ? 80 %
*For how long can depreciation benefits be carried forward ?
unlimited
*Company A sets up a solar plant for 8 cr avails 80 % depreciation and sells it to B, say at Rs 4 cr. While its WDV is 1.6 Cr. How much depreciation can be claimed? At what rate ?
1.6 CR ONLY CAN BE CLAIMED.
*At what stage of commissioning can one claim depreciation?
Only AFTER PRODUCTION
Only Maharashtra, Orissa and Jammu and Kashmir have set the minimum size as 250kW. All other states do not specify a minimum size for REC projects.
The RECs must be sold within one year from the date of issuance, failing which the RECs will lapse.
*What is the space / area / land required for the plant?
Generally, it is assumed at 3.5 to 4acres for crystalline silicon (c-Si) technology and 6 to 7 acres per MW for thin film solar (a-Si or CdTe) technology. In reality, it depends on other parameters like cost of land, Ground Coverage
Ratio (GCR)(to avoid inter array shading, GCR can be 0.45 to 0.65 and generation will vary based on GCR) and choice of sun tracking systems (with sun trackers the land required will be about 6acres per MW for crystalline solar modules).
Which are the ideal states for setting up of solar power projects?
Hot destinations are Rajasthan, Gujarat and MH, MP, Andhra, Karnataka, Tamil Nadu as far as solar radiation is concerned. Presently, only Andhra, Rajasthan and Gujarat have a clear policy and guidelines on the procedures for setting up solar power projects. Other states may also initiate the policy and procedures soon now that Jawaharlal Nehru National Solar Mission has been launched by Government of India.
Are Banks interested in financing solar power projects?
The Debt Service Coverage Ratio (DSCR) works out to an average of 1.49 which is considered quite acceptable to commercial banks for sanction of loan. The maximum debt that is permitted as per CERC norms is 70% and most banks should be find this acceptable based on the financial strength and net worth of the company / promoters. The present policy driven by the National Solar Mission and PPA for 25 years with a central PSU like NTPC's subsidiary should provide adequate confidence to Banker to finance solar power projects.
Land acquisition in Rajasthan for Solar power thru PPA
RREC has come up with a provision that allows developers to identify revenue land for project development before the bidding process and block it with state revenue department through RREC. The land which is identified for the project is checked for category and availability by the local Patwari (lowest revenue official). Developers need to make tentative maps of the site. An application is then sent through RREC (along with maps) to state revenue department. After processing the application, state revenue department blocks the land against the registered project for a period of maximum 3 years. A fee of Rs 100,000/MW has to be paid for blocking of land. In case of private land a MoU can be signed with the land owner. (land blocking can happen only for revenue land and not private land).
Challenges
1. Leasing land for establishment of weather monitoring station in a specific region is a challenge as it has the potential of driving up land prices once the project starts land acquisition 2. Obtaining contiguous land especially from private parties is very difficult as multiple buyers have to agree to the same. Even in case of one or two backing out, the project could face considerable logistical issues in project development. 3. Acquisition of land, especially private land can be a very politically sensitive issue. There is a need for the developer to continuously communicate and interact with the local population around the project from the time the decision is made to after commissioning and also convey to the local community the advantages that would accrue to them from the project 4.Right of way issues would need to be evaluated up front as these have the potential to cause large delays in project commissioning.
SEVEN STEPS TO DESIGNING
A SOLAR CAPTIVE POWER PLANT FOR A FACTORY
There are seven steps involved in designing a successful captive solar PV installation
Scoping of the project
Calculating the amount of solar energy available
Surveying the site
Calculating the amount of energy needed
Sizing the solar system
Component selection and costing
Detailed design
Step 1 –SCOPING THE PROJECT
As with any project, you need to know what you want to achieve. This basically involves detailing what you want from the captive PV installation, once installed. Do you want it to completely provide your day time electricity usage? Or do you want it to support a part of your usage? To start with, the scope of the project can be simple and later as we progress we can flesh it out to suit the requirements.
Defining the scope is in fact the most important step because once the basic scope is wrong, we might not be able to get the system do, what we exactly want it to do.
Step2 - CALCULATING THE SOLAR POWER AVAILABLE
Solar insolation is the amount of electromagnetic energy (solar radiation) incident on the surface of the earth. Basically that means how much sunlight is shining down on the area under consideration.
The values are generally expressed in kWh/m2/day. This is the amount of solar energy that strikes a square metre of the earth's surface in a single day. Of course this value is averaged to account for differences in the days' length. There are several units that are used throughout the world.
By knowing the insolation levels of a particular region one can determine the number of PV modules that are required. An area with poor insolation levels will need a larger number of PV modules than an area with high insolation levels. Once the region’s insolation level is known, one can more accurately calculate collector size and energy output.
The typical thumbrule that is used for the amount of electricity that solar PV can produce is as follows: On average, 1 W of solar PV, at current crystalline silicon panel efficiencies, can produce about 4 Wh of electricity per day. This is however only an average estimate and based on the location, this could be a bit lower or higher than the average.
Step 3 – SURVEYING THE SITE
A site survey basically consists of a brief interview with the developer to get a feel for their electricity needs and a physical inspection of the proposed array site to see if it is suitable for solar. When a qualified photovoltaic design professional visits a potential solar site, he or she has many things to watch out for.
Primarily, they will be checking the roof's orientation (azimuth) and solar access. Orientation refers to the direction the roof faces - directly south is ideal, with some leeway to the Southwest or Southeast.
Solar access quantifies the percentage of time when the proposed array location will be receiving the full unshaded power of the sun during different days of the year. A shady roof might disqualify a site from receiving incentive money from the state, and is not a responsible choice for solar anyway. There are ways to get around shade issues - either by looking at alternate sites, trimming or removing trees, or by using micro-inverters in the system design rather than one large central inverter.
Step 4 - CALCULATING THE AMOUNT OF ENERGY NEEDED
The next big task for any photovoltaic system designer is to determine the system load. This load estimate is one of the key factors in the design and cost of the stand-alone PV system.
A simple way to determine the approximate ceiling for the solar PV system capacity for all electricity needs is as follows:
1. Find out your total monthly electricity consumption. Let’s say it is 100000 kWh
2. Divide it by 30 to get an approximate daily consumption. In the example, it is about 3300 kWh.
3. Using the thumb rule that 1 W of solar PV can approximately produce 4 Wh of electricity per day, you can determine the approximate maximum solar PV capacity you will require to power all your systems using solar PV. In this case, if the total daily consumption of electricity is 3300 kWh, you will require a maximum of 3300/4 = 825 kW.
4. It is however very unlikely that you would require such a high capacity for solar PV as you will need solar PV primarily as a backup power source, perhaps as a replacement for diesel based power generation.
Ceiling for the solar PV required for complete diesel replacement
In most cases, you will be using solar only as a backup power source to replace diesel based power production.
6. One simple way to determine the amount of solar PV for this purpose is to determine the total amount of electricity you produce using diesel every month. In the example provided, out of the 100000 kWh of total electricity you consume every month, let’s say 10% or 10000 kWh is generated from diesel gensets. This provides you the ceiling for the solar PV system capacity for complete diesel replacement. In this case, it is 82.5 kW.
7. As a thumb rule, one litre of diesel produces 4 kWh, so you can also compute the above with the data for the amount of diesel used every month.
While estimating the load, the designer should consider energy conserving substitutes for items that are used often. Identifying large and/or variable loads and determining if they can be eliminated or changed to operate from another power source will save cost.
Step 5 – SIZING THE SYSTEM
From the results obtained in step 2 and step 4, we can determine the size of the solar system that will be needed to power the site. The necessary systems involved in the setting up of captive power plants are:
1) Array(collection of solar PV modules)
2) Charge controllers
3) Batteries
4) Inverters
5) Mounting systems
Note: The exact procedure for sizing of a solar system has to begin with calculating the amphere hour (Ah) of each load under consideration. Without knowing this it is impossible to size the PV system.
PV array sizing – Array sizing is determined by taking into account the daily energy requirement (in Kilowatt hours) and average daily peak sunshine hours in the design month.
No part of a PV array can be shaded. The shading of small portions of a PV module may greatly reduce output from the entire array. PV modules connected in series must carry the same current. If some of the PV cells are shaded, they cannot produce current and will become reverse biased. This means the shaded cells will dissipate power as heat, and over a period of time failure will occur. However, since it is impossible to prevent occasional shading, the use of bypass diodes around series - connected modules is recommended
Hybrid Indicator
At this point, the basic PV system configuration and size have been determined. Before proceeding to specify components for the system, a simple test is recommended to see if the application might be a candidate for a hybrid system.
Two main indicators work together to alert the designer to a possible hybrid application; the size of the load, and the seasonal insolation variability at the site. The larger the load the more likely a hybrid PV-generator system will be a good economic choice. Likewise, in cloudy climates you need a larger system to meet the load demand; thus having a higher array/load ratio. Plotting the load versus the array/load ratio gives an indication of whether a hybrid system should be considered. There may be other reasons to consider a hybrid system: for example, systems with high availability requirements or applications where the load energy is being provided by an existing generator. A word of caution--the controls required for a hybrid system are more complex because the interaction between engine generator, PV array, and battery must be regulated. Obtaining advice from an experienced designer is recommended if you decide to install a hybrid system.
Controllers - Charge controllers are included in most photovoltaic systems to protect the batteries from overcharge or excessive discharge. Overcharging can boil the electrolyte from the battery and cause failure. Allowing the battery to be discharged too much will cause premature battery failure and possible damage to the load. The controller is a critical component in your PV system. Thousands of rupees of damage may occur if it does not function properly. In addition, all controllers cause some losses (tare loss) in the system. One minus these losses, expressed as a percentage, is the controller efficiency. The cost of the controller increases rapidly as the current requirement increases. Controllers for 12-volt and 24-volt systems with currents up to 30 amperes are available at a reasonable cost. Controllers with 30- 100 amperes are available but 2-5 times more expensive. Controllers that will switch currents over 100 amperes are usually custom designed for the application. One way to work with currents over 100 amperes is to connect controllers in parallel. It is often less expensive to use five 20- ampere rated controllers in parallel than one 100-ampere unit.
The controller must be installed in a weather resistant junction box and can be located with other components such as diodes, fuses, and switches. Excessive heat will shorten controller lifetime so the junction box should be installed in a shaded area and venting provided if possible. Controllers should not be mounted in the same enclosure with batteries. The batteries produce a corrosive environment that may cause failure of electronic components.
Battery sizing - To determine the size of the battery storage required for a stand-alone PV system, it is required to make a number of decisions. Before making these choices, one should study and understand battery parameters and the concept of system availability. First, you must choose the amount of back-up energy you want to store for your application. This is usually expressed as a number of no sun days, in other words, for how many cloudy days must your system operate using energy stored in batteries. There is no “right answer” to this question. It depends on the application, the type of battery, and the system availability desired.
Inverters - Power conditioning units, commonly called inverters, are necessary in any stand-alone PV system with ac loads. The choice of inverter will be a key factor in setting the dc operating voltage of your system.
When specifying an inverter, it is necessary to consider requirements of both the dc input and the ac output. The choice of inverter will affect the performance, reliability, and cost of your PV system. Usually, it is the third most expensive component after the array and battery.
The selection of the inverter input voltage is an important decision because it often dictates the system dc voltage.
An inverter should be installed in a controlled environment because high temperatures and excessive dust will reduce lifetime and may cause failure. The inverter should not be installed in the same enclosure with the batteries because the corrosive gassing of the batteries can damage the electronics and the switching in the inverter might cause an explosion. However, the inverter should be installed near the batteries to keep resistive losses in the wires to a minimum.
Mounting structures- Ground mounting of PV arrays is recommended for stand-alone systems. Regardless of whether you buy or build the mounting structure make sure it is anchored and the modules are restrained. Many module manufacturers and distributors sell mounting hardware specifically designed for their modules. This hardware is intended for multiple applications and different mounting techniques and considerations like wind loading have been included in the design. Using this mounting hardware is the simplest and often the most cost effective. Customized array mounting structures can be expensive.
Others- It is important to select wire, connectors, and protection components such as switches and fuses that will last for twenty years or more. To obtain this long life, they must be sized correctly, rated for the application, and installed carefully. Connections are particularly prone to failure unless they are made carefully and correctly.
Step 6 – COMPONENT SELECTION AND SIZING
Once the various components have been sized, the next important step is the selection and costing of the components.
There are many players in the market vying to establish their products. At thisjuncture, the system developer has to select components by taking into account factors like technical specifications, reliability, and lifetime of the components in addition to the cost.
Investment for the solar modules is for a period of 25 years, so selecting a high efficient solar panel is of prime importance. The manufactures of the batteries claim a lifetime of about 7 years, whereas inverters guarantee at most 2 years. As can be seen from these numbers, selection becomes a crucial part of the captive solar PV installation.
Step 7 – DETAILED DESIGN
Now that the major components have been sized and selected, it is time to consider how to interconnect everything as a working system.
The detailed design is the more actionable form of the captive solar PV installation. The system developer accumulates all the data collected from the previous 6 steps and prepares a layout of the installation on paper. The developer removes obvious engineering fallacies and prepares a corrected version of the layout on paper.
The confirmed design will have all the necessary data like the average consumption per day(kWh), the insolation levels at the area under consideration(in hours) , the optimal plant size, the area required for the same, the number of panels required to be installed in that area, the number of charge controllers, batteries, inverters required for the determined plant size, the cost of all the components and many more intricate details like the viability of installing tracking systems etc.
Stand-alone PV systems will be reliable power producers for more than two decades if properly sized for the application, engineered well, and installed carefully. PV arrays for stand-alone systems are installed in many unique and innovative ways. However, there are common issues involved in any installation, whether the array is fixed or tracking, mounted at ground level, or on a pole or building.
Preventive Maintenance
The integral part of any completed installation is the periodic checks that are recommended for any stand-alone PV system so that little problems can be found and corrected before they affect system operation. The system should be checked soon after installation when it is presumably operating well.
Interested in setting up a Captive solar power for your factory? Send mail to mano@eai.in subject Factory power
COMPANIES AND INDIVIDUALS IN SETTING UP A SOLAR PLANT IN RAJASTHAN
STEPS INVOLVED IN DESIGNINGA ROOF-TOP SOLAR PV SYSTEM WITH BATTERY BACKUP
A stand-alone PV plant for AC and DC loads:
The broad steps involved in designing a roof-top stand-alone solar PV plant are:
Estimation of total loads and energy
Selection of an inverter
Sizing of battery bank
Sizing of PV array
Selection of other components
Installation and commissioning
Testing and evaluation
Estimation of total loads and energy:
Sum the total AC connected watts
Sum the total DC connected watts
Calculate the AC average daily energy requirement
Divide this by the inverter efficiency to obtain the DC energy required to the AC load
Calculate the total energy requirement due DC loads
Add the DC energies obtained by step 4 and step 5
This quantity is the total DC energy load on the battery bank
Selection of inverter:
The capacity of the inverter must be more than that of the total daily average AC loads, including their surge requirement
The nominal DC input voltage of the inverter will be the battery bank voltage and is decided by the design of the inverter
The output will be single phase or three phase , 230/440V & 50Hz, to be compatible to the AC loads requirement
The conversion efficiency at minimum load (10%) should be 80%
Total Harmonic Distortion (TDH) < 3%
The wave shape, crest factor, power factor etc, to be as per the load requirements
Battery bank sizing:
The total DC energy ÷ the nominal input voltage gives the daily Ampere Hour (AH) requirement from the battery bank
The daily AH hours X autonomy ÷ discharge limit provides the battery bank Ampere hour capacity
Battery bank AH capacity/Individual battery AH gives the number of batteries in parallel (generally it is 1)
DC system voltage ÷ the battery voltage gives number of batteries in series
PV array sizing:
Average daily AH requirement from the battery ÷ battery columbic efficiency gives the AH to be put in by the PV array in a day
AH required from PV array ÷ average peak sun hours in a day of the site gives Amperes required from PV array
Amperes from array peak ÷ panel (or module) peak ampere gives number of PV panel strings required in parallel
Nominal system DC voltage ÷ nominal operating module voltage gives the number of SPV modules in one series string
Number of modules in one series string X number of parallel strings gives the total number of SPV modules in the power plant
Number of PV modules X PV module wattage is the total PV array wattage
Other components:
Charge controller maximum current capacity should be one and half times that of total short circuit current of all parallel strings
The total open circuit voltage of all the modules in series should give the maximum voltage of the charge controller
The cables connecting the module to Junction boxes, to that of DC board and battery bank should be selected as per the standards
Cut-outs, fuses and other control components should be as per the National standard of Electrical current ratings
Key words: Solar PV, photovoltaic system design, PV arrays, total AC and DC loads, selection of inverter for SPV, battery bank sizing, SPV array sizing, charge controller, SPV module, ampere hours (AH)
Easy Steps to Plan your solar roof top solution
Solar power energy systems are not inexpensive. Nor are they too expensive. At present many households and factories, just need power. Not many are asking as to when they will get the capital back.
Here is a news item in The Hindu saying that in a few years the electricity tariff will be Rs 13 or Rs 14/-
The policy aims at developing Rajasthan as a global hub of solar power of 10,000-12,000 MW capacity in next 10-12 years to meet energy requirements of Rajasthan and India. To achieve grid parity in next 7-8 years, the State will encourage the Solar Power Developers to establish manufacturing plant of their technology in Rajasthan. This Policy document is aimed at giving a direction to the above stated ambition of the Rajasthan state. Salient Features: The Policy will come into operation with effect from 19.4.2011 and will remain in force until superseded or modified by another Policy.  To achieve the objectives of this Policy, the targets under the policy are mentioned below: 1. The State Government has sanctioned two Solar Power Projects of 5 MW capacity under the GOI guidelines for Generation Based Incentive scheme for Grid Interactive Solar Power Generation Projects issued by MNRE. The power evacuation transmission line from generating plant substation to the receiving RVPN/Discoms of Rajasthan sub-station will be laid by STU/Home Discom as per the prevailing orders of RERC. 2. The Rajasthan State has sanctioned 66 MW solar power projects in compliance of the RERC’s orders. These sanctioned projects were migrated to National Solar Mission by the State Government. The power produced from these solar power plants shall be procured by NVVN as per mechanism provided under National Solar Mission Phase-1. The Discoms of Rajasthan shall purchase this solar power from NVVN along with the equivalent amount of MW capacity from the unallocated quota of NTPC stations allotted to NVVN by Ministry of Power, GoI. The power evacuation transmission line from generating plant sub-station to the receiving RVPN/Discoms of Rajasthan sub-station will be laid by STU/Home Discom as per the prevailing orders of RERC. 3. The Rajasthan State will develop 50 MW SPV and 50 MW Solar Thermal Power Plants through selection of developer(s) by the tariff based competitive bidding process on concept of bundling of Solar Power with equivalent amount of MW capacity of conventional power. The successful bidder will set up Solar Power Plant in Rajasthan and supply equivalent amount of MW capacity of conventional power from Conventional Power Plants located anywhere in India. The power evacuation transmission line from generating plant sub-station to the receiving RVPN/Discoms of Rajasthan sub-station will be laid by STU/Home Discom as per the prevailing orders of RERC. 4. The Rajasthan State will promote setting up of Solar Power Plants connected at 33 kV & above level under the guidelines of National Solar Mission (NSM). The minimum/maximum capacity allocation to each Solar Power Producer will be as per MNRE guidelines. The power evacuation transmission line from the Generating plant sub-station to the RVPN/Discom receiving Substation will be laid as per provisions of the orders of appropriate Commission. 5. The state government will support setting up of 100 MW solar photovoltaic power plants and 100 MW solar thermal power plants under phase I of the Rajasthan Solar Energy Policy 2011 for direct sale of power to discoms in the state. Under phase II (2012-2017), the state government plans to add another 400MW of solar power through tariff based competitive bidding process. The power evacuation transmission line from generating plant sub-station to the receiving RVPN/Discoms of Rajasthan sub-station will be laid by STU/Home Discom as per the prevailing orders of RERC. The minimum/maximum capacity allocation to each Solar Power Producer under phase 1 will be as under: Technology Minimum capacity Maximum capacity SPV 5MW 10MW CSP 5MW 10MW The minimum/maximum capacity allocation to each Solar Power Producer for power projects in Phase-2 will be decided by the State Government at the time of capacity allocation for Phase-2. 6. The Rajasthan State will promote Solar Power Producers to set up Solar Power Plants of unlimited capacity for captive use or sale of power to 3rd party/States other than Rajasthan. There will be no upper ceiling for power projects. The power evacuation transmission line from the Generating plant sub-station to the RVPN/Discom receiving Sub-station will be laid as per provisions of the orders of appropriate Commission. 7. The Rajasthan State will promote deployment of Roof-top and Other Small Solar Power Plants connected to LT/11kV Grid as per guidelines of MNRE under Rooftop PV & Small Solar Generation Programme (RPSSGP) of NSM. The minimum/maximum capacity for power project sanctioned under this category will be as per the guidelines issued by MNRE. The power evacuation transmission line from generating plant sub-station to the receiving RVPN/Discoms of Rajasthan sub-station will be laid by STU/Home Discom as per the prevailing orders of RERC. 8. The State will promote setting up of small solar power plants connected at 11 kV grid of 1 MW capacity each for direct sale to State Discoms of Rajasthan. The total capacity under this category will be 50 MW. The selection of the projects will be through tariff based competitive bidding process. There will be no upper ceiling for power projects. 9. The Rajasthan State will promote Solar Power Producers to set up Solar Power Plants of unlimited capacity for sale through RE (Solar) Certificate mechanism. The power evacuation transmission line from the Generating plant sub-station to the RVPN/Discom receiving Substation will be laid as per provisions of the orders of appropriate Commission 10. The Rajasthan State will promote Solar Power Producers to set up Solar Power Plants along with Solar PV manufacturing plants in Rajasthan. The target under this category will be 200 MW up to 2013. The capacity allocation for manufacturing plant will be as follows:- Per annum production capacity of Manufacturing Plant Capacity allocation for SPV based Solar Power Plant More than 25 MW but less than 50 MW 10 MW 50 MW and above 20 MWThe selection of developers shall be through tariff based competitive bidding. The Solar Power Producer will be required to source SPV modules from their own manufacturing unit established in Rajasthan. The power evacuation transmission line from generating plant sub-station to the receiving RVPN/Discoms of Rajasthan sub-station will be laid by STU/Home Discom as per the prevailing orders of RERC. 11. The Rajasthan State will also promote decentralized and off-grid solar applications, including hybrid system such as solar water heaters, solar cooling systems, air drying, steam cooking, power generation, sterling engine. The off-grid solar applications shall be promoted for replacement of diesel based generators sets. The Rajasthan State will also consider incentives for promotion of decentralized and off grid solar applications. 12. Rajasthan also intends to set up Pilot Demonstration Projects under National Solar Mission’s R&D initiatives in Phase – 1 of Solar Mission. This will include : a. 50-100 MW Solar thermal plant with 4-6 hours storage (which can meet both morning and evening peak load and increased plant load factor up to 40%) b. A 100 MW Parabolic trough technologies based solar thermal plant c. A 100-150 MW Solar hybrid plant with coal, gas or bio-mass to address variability and space-constraints. d. 20-50 MW Solar plant with or without storage, based on central receiver technology with molten salt/steam as working fluid and other emerging technologies. e. Grid connected rooftops PV systems on selected Government buildings and installations, with net metering f. Solar based space cooling and refrigeration systems The capacity allocation for pilot demonstration project will be finalized in consultation with MNRE. The maximum capacity to be commissioned under this Clause will be decided by the Rajasthan Government after studying the subsidy pattern for these demonstration projects under NSM 13. The Rajasthan State will develop Solar Parks (with RREC as nodal Agency) of more than 1000 MW capacity in identified areas of Jodhpur, Jaisalmer, Bikaner and Barmer districts in various stages. RREC will allocate budget for development of infrastructure in Solar Parks to SPV.The SPV will develop the initial infrastructure from the funds allocated by RREC, which will be subsequently recouped from the Solar Power Producers whose project are located in Solar Parks by levying development charges. 14. The Rajasthan State will promote Solar Water heating system by adopting the key strategy of making necessary policy changes for mandatory use of solar water heating system (SWHS) on Industrial, commercial, residential and other establishments. The policy also, specifies minimum/maximum capacity to each Solar Power Producer for power projects sanctioned under various categories mentioned above. Time schedule for completion: Type of Projects Completion Time schedule SPV: Up to 5 MW capacity Within 15 months from the date of SLEC approval More than 5 MW and up to 10 MW capacity Within 24 months from the date of SLEC approval More than 10 MW and up to 25 MW capacity Within 30 months from the date of SLEC approval More than 25 MW and up to 50 MW capacity Within 36 months from the date of SLEC approval More than 50 MW Within 40 months from the date of SLEC approval CSP: Up to 25 MW capacity Within 30 months from the date of SLEC approval More than 25 MW and up to 100 MW capacity Within 40 months from the date of SLEC approval More than 100 MW and up to 200 MW capacity Within 46 months from the date of SLEC approval More than 200 MW Within 50 months from the date of SLEC approval Provided that extension in time schedule may be granted by the SLEC on case to case basis after depositing penalty amount as under: For delay up to 3 months Rs.1,25,000 per MW For delay more than 3 months but up to 6 months Rs.2,50,000 per MW For delay more than 6 months but up to 9 months Rs.3,75,000 per MW For delay more than 9 months but up to 15 months Rs.5,00,000 per MW  Developmental charges: For Solar power projects established for sale of solar power to parties other than Discoms of Rajasthan, the Solar Power Producer shall deposit non-refundable development charge of Rs. 10 Lacs per MW to Rajasthan Renewable Energy Corporation Ltd. within one month from the date of issue of in-principle clearance for availing benefits, facilities and concessions under the provisions of this policy. For solar power projects established for sale of solar power to Discoms of Rajasthan State, no development charges will be leviable from the Solar Power Producers.  Creation of Rajasthan Renewable Energy Infrastructure Development Fund: The resources mobilized by collection of development charges will be credited to Rajasthan Renewable Energy Infrastructure Development Fund. This fund will be utilized for creation of infrastructure such as transmission network, roads etc. for accelerated development of renewable energy. Land: Government Land: After registration of the project, RREC will recommend to the concerned District Collector for reservation of the land identified by the Solar Power Producer. The District Collector will set apart the land for the project for a period of three years after examining it’s suitability for allotment under Rajasthan Land Revenue (Allotment of Land for setting up of Power plant based on Renewable Energy Sources) Rules, 2007, as amended from time to time. The Revenue Department may extend the period of reservation on recommendation of RREC. After expiry of the period of reservation, the land will be released for use by other developers and for other purposes. The process of reservation of land will be completed by the concerned District Collector within the 30 days from the receipt of recommendation of RREC. After registration of land, the allotment of land to the Solar Power Projects will be done as per the provisions of Rajasthan Land Rules, 2007, as amended from time to time. The Government land required for Solar Power Plant shall be allotted to Solar Power Producer at concessional rate of 10% of the DLC rate (agriculture land). Private Land: Power Producers shall be allowed to purchase private land from the Khatedar for setting up of Solar Power Plants in excess of ceiling limit prescribed in the Ceiling Act, 1973. Conversion of private land to industrial use shall be required for setting up of Solar Power Plant/Solar manufacturing plant before start of work. The conversion charges shall be 10% of charges levied for Industrial purpose under the relevant rules. Land for Manufacturing unit: Land in RIICO industrial area, in solar parks and will be as per respective regulations.  Receiving sub-station: o For 33kV and above grid connected solar plants , RVPN shall finalize the location of receiving Sub-station in consultation with RREC on which the electricity generated will be received at minimum 33 kV level o For 11kV grid connected solar plants, Discoms of Rajasthan shall finalize the location of receiving station for small solar power plant in consultation with RREC. o For LT connected solar plants, Discoms of Rajasthan shall allow interconnections of solar power plants connected to LT voltage level as per standard /norms fixed by Central Electricity Authority/ guidelines of MNRE/ relevant RERC order.  Grid Connectivity: For creation of proper facility for receiving power, the Solar Power Producer shall pay Grid Connectivity charges as finalized by RERC from time to time to Discoms of Rajasthan/RVPN as applicable. The power evacuation transmission line from generating plant sub-station to the receiving RVPN/Discoms of Rajasthan sub-station will be laid by STU/Home Discom or as per the prevailing orders of RERC.For grid connectivity/construction of line to be arranged by RVPN/ Discoms of Rajasthan, the Solar Power Producer shall submit time-frame for construction of their plant along with Bank Guarantee equivalent to the cost of bay and transmission/ distribution line with an undertaking to use the system within prescribed period. In case there is any delay in utilization of system, a penalty @ 12% per annum for the period of delay on the amount of Bank Guarantee will be levied by RVPN/ Discoms of Rajasthan. The Bank Guarantee shall be returned to the Solar Power Producer after commissioning of the project on depositing amount of penalty, if any on account of delay in the utilization of the system.  Water Availability: Water Resource Department will allocate required quantity of water from IGNP canal/the nearest available source for development of Solar Thermal Power Plants subject to the availability of water for power generation.  Electricity Duty: The energy consumed by the Power producers for own use will be exempted from payment of the electricity duty.  Open Access charges and losses: As approved by RERC from time to time.  Metering of Electricity: Metering arrangement shall be made as per Central Electricity Authority (Installation & Operation of Meters) Regulations, 2006, the grid code, the metering code and other relevant regulations issued by RERC/CERC in this regard  Reactive power charges: As per RERC order.  Sharing of CDM benefit: Solar Power Producer will pass CDM benefit to DISCOM with whom PPA is signed as per appropriate commission’s order.  Forecasting and scheduling: The Solar energy generated for sale will not be covered under scheduling procedure for Intra-State ABT RREC to act as Nodal Agency for Single Window Clearance of Projects
Rajasthans solar potential
Rajasthan's potential for tapping solar energy is being altered by high cost of solar cells, relatively low efficiency cells and shortage of batteries. These areas have vast potential for research and technology for engineering students, said president of International Academy of Astronautics and former chairman of Indian Space Research Organization,Madhavan Nair. He was here as the chief guest of 7th convocation ceremony of Malaviya National institute of Technology (MNIT) on Sunday.
He stressed on the need for engineering students to take up the responsibility for developing affordable technology for issues like food security and energy security. "You have to find technical solutions to the problems facing modern India. The solutions should be designed keeping in mind the Indian conditions and making them cost effective so that they are within the reach of rural India and urban poor," said Nair.
He asked engineering students to volunteer to take up such challenges rather than be lured into routine IT jobs. "You have to bring out the innovator in you to solve the problems of developing India. Once your bright idea converts it can be commercially exploited on 'high quality at low cost' and you can capture not only the Indian market but also meet the global needs," said Nair.
He also told the graduating students to realize that the society has invested in them by providingimpressive infrastructure and training and now it is their responsibility to return it. "While you are building your career and improving you must not forget to return some part of your knowledge wealth to people who are needy," said Nair, whose speech received applause from all the students, parents and the faculty. He concluded his speech by saying that India's all round development is not possible without the development of six lakh villages. "The engineering community has to play a major role in this regard," said Nair.
Project Manager wanted at SSAEL, Pokhran, Rajasthan, India
Job Description
Position for Project Manager / Engineer at Solar Park – Ramdevra, Jaisalmer distt, Rajasthan
Shri Shakti Alternative Energy (www.ssael.co.in) is looking for a Project Manager for their 100MW Solar Park near Pokhran , Jaisalmer Distt , Rajasthan.
Desired Skills & Experience
The skills we are looking for:
On site implementation of civil works (buildings, roads etc) and electrical works – 33/132kV substation and 132kV transmission line
Thorough understanding of technical specs and ensure compliance with the spec document
Prepare regular reports on the progress of the project, able to report even in times of adversity and come up with corrective measures
Supervise the contractors, ensure Quality and On time completion of tasks
Familiarity with web based Project Management Software
About the candidate:
Candidate will be required to be located on site till the project is completed 2013-14
Hands on experience in laying transmission lines and substations and civil works
Sound experience within Construction and built environment and managing contractors on site
Able to complete work as per targets and deadlines
Team player and motivated individual to work in multi cultural and multi lingual environment
Concern for the environment and local socio economic issues
Company Description
SSAEL is a pioneer in the field of Solar PV in India and was incubated by the IFC, World Bank Group, under a GEF funded program called Photovoltaic Market Transformation Initiative (PVMTI). SSAEL has completed several consultancy projects for the World Bank, kfW, UNIDO etc and more advised Rajasthan Electricity Regulatory Commission (RERC) through two consecutive assignments to set the tariff for solar power projects in the state of Rajasthan during 2009-12. SSAEL has an MoU with Government of Rajasthan, under Rajasthan Solar Energy Policy, 2011, to develop a 100MW Solar Park in Jaisalmer district called Rajasthan Solar Processing Zone which is the first of its private solar park in India.
Rajasthan State Regulatory Structure for Renewables
1. RE Status
APPC calculation process: Average price of purchase of electricity by distribution licensee in previous year, excluding short term power purchase and power from RE sources.
8. Discussions
Rajasthan has immense solar potential; wind and biomass are also having good scope. State has seen quite nice growth in wind and biomass power plants in past years. Though solar is still nascent, with number of projects lined up this technology is also expected to grow well.
The tariff determination process in state is quite attractive and easy to understand, thus it will attract many investors, though the only problem is low RoE as compared to what is specified by CERC.
State has an aggressive RPO specified, in FY10, it was not met fully, but with so many RE projects in pipeline, they are expected to meet their RPO in coming years.
************************************************************************************************ More business opportunities are discussed in the later part of this blog. Keep reading. ********************************************************************************************************************
This blog consists of three parts
Part I deals with latest solar energy news from Rajasthan
Part II deals mostly with the Government regulations and guidelines for solar energy in Rajasthan.
Part III deals with solar energy business opportunities, solar energy business strategy, and solar energy investment required for different types of businesses all catering to the Private sector from large corporates to small medium ones.
Part I
Latest News – Rajasthan Solar Energy
Part II
Solar irradiation in Rajasthan
Demographics of Rajasthan
RREC
Solar policy of Rajasthan
Rajasthan Government initiatives and incentives
Solar projects in Rajasthan
Solar Photovoltaic power plants established by RREC
Part III
The solar energy business potential in Rajasthan and Business opportunities in Rajasthan
HINDUSTAN SALTS SAID TO PARTNER BHEL FOR MEGA SOLAR PROJECT !
PSU firm manufacturing common salt, Hindustan Salts is in talks to partner another state-owned firm, BHEL to come up with a mega solar power plant, according to Indian Express.The planned unit is learnt to be Asia’s largest solar power generation facility on about 15,000 acres of unutilized salt pan land in Rajasthan.Also both the companies are under the planning stage of developing another 23,000 acres of land in Gujarat for setting up a combined solar and wind power capacity adding up to 4,000 MW. IL&FS and BHEL are doing a feasibility study to install the solar power plant on its land. Out of 57,000 acres of land owned by Hindustan Salts in Rajasthan, 37,000 acres is covered by a lake.On completion, the plant will have a capacity of 2,500 MW SOURCE.
RENEWABLE ENERGY CORPORATION ASA :REC POWERS A NEW 5.8MW SOLAR PLANT IN RAJASTHAN, INDIA
New Delhi - April 22, 2013: REC, a leading global provider of solar electricity solutions, delivered 5.8 MW of solar panels for a power plant owned and operated by BMD Pvt Ltd, a market leader for automotive furnishings and part of the LNJ Bhilwara Group.
The ground-mounted system is located at Gajner, south-east of Bikaner, Rajasthan and was officially inaugurated by Mr L N Jhunjhunwala, Chairman Emeritus of the LNJ Bhilwara Group, at a ceremony on April 20, 2013 with close to 50 guests. "We are delighted to have provided REC Peak Energy Series solar panels for this project in record time", commented Anil Yadav, Head of India Market, REC. "We expect the plant to operate efficiently for more than 25 years and to reduce CO2 emissions by around 7,272 tons per year."
Built by AEG Power Solutions Group, the plant comprises 23,200 REC Peak Energy Series solar panels and is expected to generate over 9,700 MWh of clean, green electricity every year. The construction of the installation was completed in just four months from start to finish.
"The solar panel supplier has to meet specific criteria of performance & reliability and we are happy that REC fulfills all of them," said Shantanu Agarwal, Executive Director, BMD. "One of the decisive factors for selecting REC solar panels was that we get the maximum yield which in turn translates to more tradable Renewable Energy Certificates (RECs). Since these certificates have a fixed price in a specific time frame, the aim is to maximize the return of investment within this time period and therefore, REC is the right choice."MORE..
EXIM BANK BRING THIN-FILM PANELS TO RAJASTHAN SOLAR PROJECT
California-based solar company MiaSole will be providing thin-film photovoltaic solar panels to an 11.6-megawatt solar project in Rajasthan, India with the help of $9 million in debt financing from the U.S. Export-Import Bank.“This project financing facilitates exports from MiaSole’s California manufacturing center will boost California’s economy and help to create hundreds of local jobs,” said Ex-Im chairman and president Fred P. Hochberg.The Sai Maithili Power Company Private Ltd., a single-purpose solar company formed by KSK Energy Ventures, is building the project under the Jawaharlal Nehru National Solar Mission.MiaSole, which is a leading manufacturer of copper indium gallium selenide thin-film solar panels, has been positioning itself as a lead supplier of solar solutions in India. “Ex-Im Bank’s support of MiaSole’s California-made solar modules for projects in India lowers the cost of capital and will enable MiaSole to expand U.S. exports and create jobs in California,” said MiaSole chief executive officer John Carrington.Over the past year, MiaSole has completed projects in Rajasthan, Gujarat, Maharashtra and Tamil Nadu, including a previous project in Gujarat in 2010 where the Ex-Im Bank providing a $3.7 million loan for MiaSole panels. – EcoSeed Staff SOURCE
RAJASTHAN TO CROSS 512.75MW THIS YEAR!
Rajasthan has become the second state in India, after Gujarat, to cross the 500 MW cumulative PV installed capacity mark. RRECL recently released the list of commissioned solar projects in the state. Of the 1.4 GW of solar PV capacity in the country, Rajasthan accounts for 510.25 MW. The total reaches 512.75 MW if solar thermal (CSP) is taken into account with the addtion of the 2.5 MW solar CSP plant commissioned by ACME Tele Power in mid 2011. SOURCE
RAJASTHAN GETS LARGEST SOLAR REC PROJECT
An Indian company has built solar generators capable of producing up to 33 MW of energy, the largest to be undertaken under the nation’s new Renewable Energy Credits scheme. Giriraj Enterprises Ltd. started output from 3 projects last week with three generators producing 19, 11 and 3 MW (totaling 33MW) of energy, all located within the western state of Rajasthan.source
JAKSON COMMISSIONS 1ST SOLAR PLANT IN RAJASTHAN
Jakson Power Solutions, India's leading power solutions company has commissioned its first solar IPP project at BAP, Jodhpur, in Rajasthan. The 20 MW solar power plant has been set up with an investment of Rs 200 crore under the government's Jawaharlal Nehru National Solar Mission (JNNSM) policy Phase 1 Batch 2. Jakson Power Solutions has signed 25 years power purchase agreement (PPA) with NVVN (NTPC Vidyut Vyapar Nigam Ltd.) for this project. The solar power plant is built on an approximately 100 acres land using high efficiency crystalline solar cells technology. It has been found to be the largest single location solar power farm in India, based on crystalline cell technology.SOURCE
After lighting rural areas of South Africa, solar-powered lamps ‘Little Suns’ will now illuminate homes in interior parts of Western Rajasthan.As many as 200 ‘Little Sun’ lamps have been put on display at a three-day exhibition, which began here yesterday at Mehrangarh Fort, and will be distributed among villagers in rural areas at the end of it.Little Sun is a solar-powered hand-held lamp in the shape of a sun with a shelf life of three years. It emits light for five hours after being exposed in the sun for the same amount of time.SOURCE
RAJASTHAN GETS LARGEST REC PROJECTS
Indian company has built solar generators capable of producing up to 33 MW of energy, the largest to be undertaken under the nation's new Renewable Energy Credits scheme. Giriraj Enterprises Ltd. started output from 3 projects last week with three generators producing 19, 11 and 3 MW (totaling 33MW) of energy, all located within the western state of Rajasthan.
Under the country's new Renewable Energy Credits scheme, companies like Giriraj, a tobacco trading giant, are investing in solar generators to produce clean, renewable power. The new scheme forces state power distributors to buy a portion of their electricity from clean sources, resulting in profit for those companies capable of putting the infrastructure in place to yield this clean energy. SOURCE
RAJASTHAN GETS LOWEST TARIFF
Rajasthan’s tender for purchase of solar power has turned up the lowest ever tariff offered for selling electricity generated by solar plants.Essel Mining, which wants to put up a 10 MW solar photo voltaic plant and supply the power to Rajasthan Renewable Energy Corporation, has quoted Rs 6.45 a kWhr.(Although, in a similar tender in Tamil Nadu a bidder (Mohan Breweries) had quoted Rs 5.97 a unit, Tamil Nadu’s tender has a 5 per cent annual escalation for 10 years.)Rajasthan’s tender for purchase of solar power from 100 MW of capacity has attracted 23 qualified bidders with total bid capacity of 185 MW. The highest rate quoted is Rs 8.25 a KWhr. Seventeen of the bidders have quoted rates less than Rs 8, and 12 of them Rs 7.50 or below. Four bidders have offered to sell solar-generated electricity at rates of Rs 7 or below. SOURCE
KIRAN ENERGY COMMISSIONS 55MW SOLAR PLANT IN RAJASTHAN UNDER THE NATIONAL SOLAR MISSION.
Kiran Energy has announced commissioning of its 55MW DC solar photovoltaic power project in Rawra village, Phalodi Tehsil of Jodhpur district in Rajasthan. The projects were set up under the second batch of Jawaharlal Nehru National Solar Mission (JNNSM), with three power purchase agreements with NVVN.
Rajasthan Renewable Energy Corporation Limited(RRECL) has released the list of 7 solar projects totaling 75 MW under the competitive bidding of the Phase 1 of the Rajasthan State Policy. The lowest price bid was Rs 6.45 /kWh(Click here for more) and the state followed an L1 bidding process, which meant that all the developers had to meet the lowest price. The target allocation was 100 MW each for PV and CSP, but only 75 MW of projects are in the list. It is likely that most of the bidders have not taken up the projects so far due to the low price. The projects specified by RRECL are highlighted in yellow in the list below.
ESSEL MINING INDIA LIMITED SIDHIDATA SOLAR URJA LIMITED ARJUN GREEN POWER LIMITED STAR SOLAR POWER PVT LTD SUNGOLD ENERGY LIMITED ENERGO ENERGY PROJECTS LIMITED ROHA DYCHEM PVT LTD
Rajasthan Renewable Energy Corporation Limited (RRECL) has released the list of bidders who participated in the bid for 100 MW of Solar PV projects. Some of the prominent bidders are Surana, Solairedirect, Emami Cement, Alex Green, Northwest Energy, SAR Capital, ReNew Solar Power, Omega Solar Power, Essel, Refex, Roha Dyechem, Crescent Power, Sky energy, Azure, Indure, Arjun Green, SunGold, Jindal Power, Star Solar & Waaree Energies.
Mahindra EPC services to set up two solar photovoltaic power plants
Mahindra EPC Services will set up two solar photovoltaic power projects in Rajasthan along with a French company, Fonroche Energie S.A.S through its special purpose vehicles in India worth Rs. 100 crore ($18 million).
A consortium of lenders comprising of KKR India Financial Services, Tata Capital Financial Services and Aditya Birla Finance are providing the term loan for the financing of the two projects.
I&S Associates advised Mahindra EPC Services with a team led by Partner Bakhtiar Sunavala.
A&M Law Offices advised Fonroche Energie and the SPVs with a team led by Partner Sanjeev Adlakha.
Luthra & Luthra advised the consortium of lenders with a team led by Mumbai Partner Bikash Jhawar.
Auctioning Contracts for 100 MW photovoltaic and 100 MW solar thermal
Rajasthan called for bids to set up 200 megawatts of solar-power projects after delaying the process for almost a year. The state is auctioning contracts for 100 mw of photovoltaic plants and 100 mw of solar-thermal plants, according to bidding documents posted on the website of the state-run Rajasthan Renewable Energy Corporation.
While the northwestern state, which has some of India’s most promising terrain for sun power, called for bids last December, it never carried out the auction. Bids this time are due by January 11, and will be opened the same day, according to the documents. Rajasthan receives on average the most solar irradiation in India after the neighbouring state of Gujarat, according to a joint study by the India meteorological department and the ministry of new and renewable energy. Contracts are available for photovoltaic projects of 5 or 10 mw each and for solar-thermal plants of 50 mw each.
Solar thermal technology uses sunlight to heat liquids that produce steam for generators, while photovoltaic plants use panels to turn sunlight directly into power.
Companies can bid for both types and also import equipment and technology for their projects, according to the agency’s rules. Developers will have a year to complete photovoltaic plants and two years to complete solar-thermal plants, it said.
Plans to install four solar units of 30 KW each and one of 1 megawatt in the next six months
That a state with abundant sunshine should set an example in using solar energy to meet most of its requirements is still a distant dream.
But, the Central University of Rajasthan, in a first-of-its-kind initiative, has shown the way by meeting 60% of its energy needs through solar energy.
The university is the first in the state and among the eight central universities formed by the HRD ministry to have successfully channelized solar energy to meet daily requirements.
The university campus has four buildings with a monthly requirement of 600 kilowatt electricity (for November), of which 420 KW is generated by solar panels.
The energy is used to heat around 80,000 litres of water and light up 62 electric poles in the campus.
In addition to being eco friendly, the method is also proving to be cost effective for the university.
It is now planning to install four solar units of 30 KW each and one of 1 megawatt in the next six months to become the first university in the country to run 100% on a renewable source of energy.
So far, Rs 3 crore has been sanctioned by the management for the project.
The university lies in the tropical region and receives enough sunlight to meet 100% energy requirements for eight months barring months of monsoon and winter.
Fulfilling its commitment of promoting 'sustainable development', the university has installed 62 electric poles of 400 watt each across the university driven by solar panels.
"These automatically become active after sunset and switch off automatically during sunrise. Throughout the day the cells recharge themselves to a level that they could run for 16 hours," said Adarsh Tyagi, assistant engineer, CPWD, Ajmer.
Furthermore, the solar energy is also used for heating 20,000 litre of water every day in each of the four buildings to provide uninterrupted supply of hot water during winter.
Fans, tube lights, computers and other equipments below 9 KW can be operated by solar energy. Once the upcoming projects will see the light of the day, the university will join the league of world's few academic places promoting sustainable development.
"The production of solar energy is phenomenal and unexpected. Soon, in future we will attain self reliance in terms of power requirement. We would be utilizing the space for tapping the solar energy so that in future we can help in the electrification of nearby villages which still don't have power connection," said M M Salunkhee, vice-chancellor of CU-Raj.
Rajasthan calls for bids to set up 200 MW solar power project
Rajasthan state called for bids to set up 200 megawatts of solar-power projects after delaying the process for almost a year.
The state is auctioning contracts for 100 megawatts of photovoltaic plants and 100 megawatts of solar-thermal plants, according to bidding documents posted on the website of the state-run Rajasthan Renewable Energy Corp.
While the northwestern state, which has some of India’s most promising terrain for sun power, called for bids last December, it never carried out the auction. Bids this time are due by Jan. 11 and will be opened the same day, according to the documents.
Rajasthan receives on average the most solar irradiation in India after the neighboring state of Gujarat, according to a joint study by the India Meteorological Department and the Ministry of New and Renewable Energy.
Contracts are available for photovoltaic projects of 5 or 10 megawatts each and for solar-thermal plants of 50 megawatts each. Solar thermal technology uses sunlight to heat liquids that produce steam for generators, while photovoltaic plants use panels to turn sunlight directly into power.
Companies can bid for both types and also import equipment and technology for their projects, according to the agency’s rules.
Developers will have a year to complete photovoltaic plants and two years to complete solar-thermal plants, it said.
Shree Ganesh Jewellery House limited is planning to exit from the solar power generation business due to objections from its board, according to BL.
This February, Shree Ganesh forayed into solar power business by acquiring 55% stake each in PV (photovoltaic) companies - Alex Astral Power Limited and Alex Spectrum Radiation Limited for R100 Cr from Surekha group.
The company had entered the renewable energy business to diversify its portfolio and to leverage on tariff and tax incentives.
The company had 30 MW assets already commissioned as of April 2012. The company also commissioned two 25 MW solar power projects in Odisha and Gujarat, and a 5 MW solar power project in Rajasthan early this year.
It also plans to commission two additional solar power units of 25 MW and 50 MW each, and intends to commission 500 MW in three years through private equity participation and accruals.
Incorporated in 2002 by Shree Ganesh Group of Kolkatta, Shree Ganesh is engaged in trading and manufacturing & export of handcrafted/machine-made plain & studded gold jewellery and diamond jewellery over the last five decades. The company markets its jewellery products under the brand name, ‘GAJA’.
This fiscal the company entered into a 50:50 JV with Societa Aretina Lavorazione Preziosi S.P.A. (SALP SPA) which will operate under the name of OROITALIA Chains Private Limited and total investment will be to the tune of R100 Cr towards working capital by the company.
However, the company later clarified on BSE that it has neither decided nor has any plans as of now to exit the solar power business.
The 40 MW solar photovoltaic (PV) plant of Reliance Power in Rajasthan has generated over 30 million units of solar power in the first six months of the current financial year, company officials said.
Confirming this, a company spokesman said that the project benefited from delayed monsoon this year, and its location advantage in Rajasthan.
The unit is located in Dhursar, Pokaran in Rajasthan and was constructed in record 129 days. Since commissioning, the plant generated 3.0378 crore kW/hr of energy.
Solar modules
According to company officials, the higher generation was on account of the plant using thin film solar modules which are highly suitable for hot areas like Rajasthan.
Apart from this, the location of the plant is in one of the highest sun irradiance areas in India. With the absence of sand dunes in surrounding areas, the loss on account of soiling is lower.
The Opposition BJP in Rajasthan on Friday alleged that the UPA Government at the Centre and Congress Government in the state has unduly facilitated companies, owned by party supremo Sonia Gandhi’s son-in-law Robert Vadra in procuring 10,000 bighas of land in the prime solar zone of Bikaner and Jaisalmer districts.
Addressing a press conference here, BJP secretary Kirit Somaiya said the Non-Conventional Energy Ministry at the Centre and the state government officials here had extended all help and cooperation to Vadra’s companies in establishing his solar land bank.
The land deals took place at a throw away price of Rs 35,000 per bigha — against the market value as high as ten folds — during 2010-11 and 2011-12 prior to announcement for creation of solar energy zone in the above two desert districts.
‘The Rajasthan Government has even amended law to facilitate Vadra to purchase this huge land and officials at all levels, including district collectors, tehsildar, land registration offices extended him red carpet treatment during processing of land deals,’ the BJP leader alleged.
‘The announcement of developing solar energy zone was made after formalising these deals, this was a planned move to benefit Vadra’, Somaiya said, adding that now every company desirous to put solar energy plant has to buy land from Vadra’s companies. He said the Ashok Gehlot Government should come forth with a public explanation on this solar land scam.
L&T commissions India's largest solar photovoltaic plant in Rajasthan
Leading engineering major Larsen & Toubro today said it has commissioned the country’s largest solar photovoltaic plant of Reliance Power in Rajasthan with a generation capacity of 40 MW.
The group’s construction arm L&T Construction executed the project owned by Reliance Power at Dhursar Village in Jaisalmer district of Rajasthan from concept to commissioning in 129 days, the company said in a statement issued here.
“With the commissioning of this plant, L&T Construction has installed 114 MW of utility scale solar PV power plants over the last fiscal,” it said.
The plant, which comprises more than five lakh high output generating thin film technology based solar PV modules and thirteen 3.5 MVA power transformers to generate 40 MW, is spread across 350 acres.
The thin film solar PV modules for the project were procured by RPower, while L&T’s scope of work included design, engineering, procurement and construction of the plant, including construction of a 5 km 33 kV double circuit transmission line, the statement added.
The plant, equipped to supply more than 70 million units (MU) of clean and green energy to 75,000 households, is expected to displace nearly 70,000 million tonne of CO2 annually, it said.
Welspun Energy today said it will invest Rs 1,000 crore in setting up a 100 MW solar power project in Chhattisgarh.
Welspun Renewables Energy Ltd (WREL), a subsidiary of Welspun Energy, has inked an MoU with the Chhattisgarh Government for installing 100 MW solar power project, the company said in a press statement here.
The MoU was signed in Raipur.
“The project is to start in 2015, entailing an estimated investment of Rs 1,000 crore,” the company said.
With this project WEL will achieve an annual CO2 emission reduction of 158,118 tonnes. The project will de-carbonize state’s energy portfolio by 2015.
The State Government will facilitate the approvals, land acquisition, registration and clearances for the project.
Welspun is developing more than 250 MW solar and 800 MW wind capacity in Rajasthan, Madhya Pradesh and Karnataka.
It plans to commission 1.7 GW of solar and wind power projects within the next three years.
“Welspun Energy...has been in talks with various state governments for expansion of their renewable energy generation portfolio,” the statement said.
Recently, it won Asia’s biggest solar power project of 130 MW through bidding, to be developed in Madhya Pradesh.
“A careful balance needs to be maintained for meeting India’s accelerating energy needs. De-carbonising production and accelerating economic activity has to be balanced,” said Vineet Mittal, co-founder and MD of Welspun Energy Ltd.
“The state governments have to adopt a proactive role. Green energy can be made affordable if more and more states take initiatives to expand their renewable portfolio.
Dependence on fossil fuels must decrease,” he said.
WEL said it is confident that it will be able to source appropriate funding for this project in time.
Mittal said that by successfully commissioning its solar projects within committed timelines, the company has been able to earn the support of private investors.
Testament to this is the recent financial closure of Welspun Energy’s 50 MW solar project in Rajasthan; a consortium of banks led by Central Bank of India have supported this project, he added.
Mittal said however that uncertain policy framework, payment security issues create edginess in investors to support power projects.
Welspun Energy is part of the $3.5-billion Welspun Group, with businesses in power generation, infrastructure, exploration and production of oil and natural gas, steel pipes and textiles.
Welspun Energy is setting up 750 MW of solar power and 1 GW of wind power plants across India, amongst the largest capacities for power generation in the country.
*Slow progress and legal issues are holding bids from investors since indefinite time and this has led to delay in the state’s solar mission. This has thus made Rajasthan miss the mission target for this year and maybe for the coming few years thus making the state dependent on conventional sources of electricity.
More than 200 MW capacity solar plants were to be commissioned this year which would have started power production for the state by 2014. However, since the power regulatory commission has put its foot down citing technical reasons, Rajasthan will have to wait for at least two years before this 200 MW capacity power plants start producing power for state.
“We had been making arrangements to start projects of about 200 MW till a few months ago, but there is some problem and bids have been postponed indefinitely. Until the matter is decided we cannot go ahead with this,” said an official of Rajasthan Renewable Energy Corporation Limited (RREC).
This will affect the state’s power situation in a major way as the state government had been planning to become self reliant in power generation by 2016. However, now since this project and several others which were to be started after this have been delayed, the energy department will have to seek assistance from central agencies and thermal power companies to generate more power.
“There is a petition we have filed with Rajasthan Electricity Regulatory Commission (RERC) to allow us for the bidding; we hope to hear from them soon,” said AR Patni, Project Manager with RERC. source
The Aditya Birla group plans to invest Rs 6,000 crore in solar power business over the next five years as demand for clean energy rises exponentially. The government has set a target of setting up 20 gigawatts of solar energy by 2022.
The $40-billion retail-to-telecom conglomerate has acquired a minority stake in a solar power venture promoted by Electrotherm in Gujarat's solar park and struck a long-term leasing agreement with Refex Energy in Rajasthan to operate a solar plant at Bithuja in Rajasthan. These units have a capacity to produce 1.55 million units of electricity per mw annually.
* Reliance Power closes CSP solar project funding $ 302 m
India’s Reliance Power has secured and closed direct DFI and ECA funding to develop its Concentrated Solar Power Project located in the state of Rajasthan.
India’s Reliance Power has secured and closed $302 million in total debt financing from international development finance institutions (DFIs) an export credit agency (ECA) and banks to develop its Concentrated Solar Power (CSP) project located in the state of Rajasthan.
The 100MW project is developed under Phase I of the Jawaharlal Nehru National Solar Mission, which has set a target of 20GW solar power by 2020. It will provide clean energy to India and support the diversification of its energy system which is largely reliable on thermal power.... more
* Industry estimates are that about 10,000 MW of renewable energy projects will come up with investments of about Rs 60,000 crore in three years. Of this, solar alone is expected to account for Rs 13,000 crore for 1,000 MW.
Mr Vinayak Mavinkurve, Group Head, IDFC Project Finance and Principal Investments, said private equity will increase with the launch of more projects. “If one excludes private sector utilities such as Torrent, Adani, Tata Power and CESC, most other developers are primarily funded through private equity or IPO. More than 50 per cent of the proposed funding for new projects could be through private equity,” he said. IDFC has funded renewable and clean technology projects worth close to $1 billion (over Rs 5,000 crore).
COST DOWN
The renewed focus on solar projects and the excess solar cell production capacity overseas have led to a sharp fall in solar power project cost. The capital cost for one MW of solar power has come down to Rs 9 crore from Rs 15 crore in 2011. Tariffs have also fallen to Rs 9.40 per unit from Rs 17.90.
SAFE BET
Investors find green projects a safe bet given the various delays plaguing other infrastructure projects including government approvals.
Mr Mavinkurve said private equity investors are drawn to green projects because of the predictable returns, generation-based incentives and expectations of an upside in REC (Renewable Energy Certificate) market.
The way fossil fuel costs are rising, power from renewable sources could soon become cheaper than thermal, he said. Gujarat, Rajasthan and Karnataka are likely to benefit as these States are close to finalising norms to promote green energy ventures. more
* Lanco Solar's Rajasthan concentrating solar thermal power by March 2013
Lanco Solar's 100 MW concentrated solar thermal power plant to be set up with an outlay of Rs 1,800 crore in Rajasthan will be ready by first quarter next year, said Mr V. Saibaba, Chief Executive Officer.
This concentrating solar power project will take the company's EPC contract portfolio to 350 MW. The order book is about Rs 4,200 crore.
The company had bid for a tariff of Rs 10.5 and is at an advanced stage of implementation. Mr Saibaba told Business Line that the company executed about 100 MW of solar photovoltaic plants. These projects include 40 MW of installed capacity of Lanco Solar and 55 MW of installed capacity for other companies.
The company is executing small projects in all of about 35 MW in France, Germany, the US and Canada. Lanco Solar, a subsidiary of Lanco Infratech Ltd, closed the year ended March 31, 2012, with a turnover of Rs 1,870 crore. more also
Under the National Solar Mission, there is a policy to approve one-project-per-proponent.The solar firm grabbed nine. So, at the end of the first phase of the solar mission, the company had its hands on almost a quarter of the total 1,000 MW to be derived from solar radiation under the first phase. It pocketed about Rs 13,000crore. Strangely, all the nine projects in question are located in Askandara village in Jaisalmer. This is also because the Rajasthan government gave land at throwaway prices for the projects. " more
the Rajasthan Renewable Energy Corporation put up a circular on its website, which read: “Last date of receiving of bids (RfS) for all the three RfS/PV 10/RREC/6 for Solar PV projects, RfS/Thermal 50/RREC/7 for Solar Thermal projects & RfS/PV1/RREC/5 for Solar PV projects are hereby postponed till further notice.”
The programme was to enable the setting up of several solar photo voltaic projects for 100 MW, and two solar thermal power projects of 50 MW each. The solar power producers were to get Rs 10.12 a unit if they did not claim the ‘accelerated depreciation’ benefit, and Rs 8.85 a unit, if they did.
The first ‘last date for submission of bids’ was February 17, but the date kept getting put off. The latest revised date was today – Friday, May 18.
This is seen as a setback to the development of solar industry in India. more
* ADB, Reliance Power to Develop India's largest solar photovoltaic power plant, Jaisalmer, Rajasthan
The Asian Development Bank (ADB) and Reliance Power Limited, one of India's largest private power developers, are joining forces to build what will be the country's largest solar photovoltaic power plant.
The project is expected to be completed by the second quarter of 2012.
"India's solar energy potential is one of the highest in the world and this plant will help kick-start large-scale, private-sector solar electricity generation in the country," said Michael Barrow, Director in ADB's Private Sector Operations Department in a press statement issued here on from Manila, Philippines.
ADB is providing a long-term loan of up to $48 million to finance the 40 megawatt (MW) Dahanu Solar Power Project located in Jaisalmer district in the western state of Rajasthan. The state has one of the highest levels of solar irradiation in India.
Reliance Infrastructure Limited, a leading private distribution company, will buy the electricity under a long term power purchase agreement to fulfil its renewable purchase obligations set by India's electricity regulators - the first time for a fully private sector transaction in solar power. The power will be distributed to households in Mumbai. source
* Tapan Solar Energy has started manufacturing Crystalline Solar Modules in Rajasthan press release *There is a race to develop appropriate solar technology for Deserts. What is the best solar solution for Rajasthan !!
Concentrating Solar Power (CSP) systems with mirrors, dishes or parabolic troughs focussing the sunlight to raise steam to run a turbines are currently in the lead. There have been some major developments in Spain and the USA, but also now in N Africa and the Middle Concentrating Photo Voltaic (CPV) power - may challenge CSP. CPV uses conventional solar cells but with large arrays and sunlight focussing arrangements, as with CSP. The crucial point is that mirrors are cheaper than solar cellsEast, with new projects opening in Morocco (the 470 MW Ain Beni Mathar hybrid project) and Egypt (the 150 MW Kuraymat hybrid project). A solar industry roadmap, as outlined in a study by A.T. Kearney and the European Solar Thermal Electricity Association, ESTELA, sees solar thermal reaching 12 GW of installed capacity globally by 2015, 30 GW by 2020 and between 60 and 100 GW by 2025.
CSP had higher operations costs and a higher cost of capital than for the residential rooftop system, and there were also transmission infrastructure and efficiency losses, which would increase the cost of power from the CSP plant further. CSP was a valuable ‘grid-stabilizing renewable energy source with storage capabilities,’ so a combination might prove to be the best option. You can look at more options for deserts evolving from the source given below.You can keep coming back to this blog for current opportunities in Rajasthan.
Read from the source http://environmentalresearchweb.org/blog/2011/11/desert-solar-race.html
It is very clear that the CUF depends not only on solar radiation level but also on air temperature.
Solar Irradiation in Rajasthan:
Highest annual global radiation is received in Rajasthan (Solar insolation ranging between 6-6.4 Kwh/m2/day in about half of Rajasthan). Large areas of land are barren and sparsely populated, making these areas suitable as locations for large central power stations based on solar energy. Rajasthan received the second largest amount of solar radiation in the world as per DOE.
Rajasthan is situated in the north-western part of India. The north-west part of the country is best suited for solar energy based projects because the location receives maximum amount of solar radiation annually in the country.
Solar irradiation measured in kwh/m2/day onto a horizontal surface
Sun path chart program This program creates sun path charts in Cartesian coordinates for: (1) "typical" dates of each month (i.e.; days receiving about the mean amount of solar radiation for a day in the given month); (2) dates spaced about 30 days apart, from one solstice to the next; or (3) a single date you specify. You can select whether hours are plotted using local standard time or solar time. In addition, there are a number of options available to allow you to alter the chart's appearance.
Rajasthan Renewable Energy Corporation Limited (RRECL) had been formed by merging erstwhile REDA (Rajasthan Energy Development Agency) and the Rajasthan State Power Corporation Limited (RSPCL) in August 2002.
RRECL is working as a state nodal agency for promoting and developing non conventional energy sources in Rajasthan. This agency co ordinates the programme activities between various programmes of non conventional energy sources and the society. It is also engaged in creating awareness among people towards conservation of energy, protection of environment degradation through demonstration projects and other methods.
Rajasthan Solar Policy:
Rajasthan solar policy came into operation with effect from 19.04.11 and will remain in force until superseded or modified by another policy.
The objective of this policy is to establish Rajasthan as a national leader in solar energy in phased manner by creating the policy framework for promoting use of solar energy in various applications and move towards achieving following objectives:
a. Developing a global hub of solar power of 10000-12000 MW capacity in next 10-12 years to meet energy requirements of Rajasthan and India.
b. Contributing to long term energy security of Rajasthan as well as ecological security by reduction in carbon emissions
c. Providing a long term sustainable solution for meeting energy needs and considerably reducing dependence on depleting fossil fuel resources like coal, oil and gas.
d. Productive use of abundant wastelands, thereby utilizing the non-industrialized desert area for creation of an industrial hub.
e. Creating favorable conditions to solar manufacturing capabilities by providing fiscal incentives.
f. Generating large direct and indirect employment opportunities in solar and allied industries like glass, metals, heavy industrial equipments etc.
g. Creation of skilled and semi-skilled man power resources through promotion of technical and other related training facilities.
h. Creating an R&D hub for deployment of various combinations of solar power technologies and solar based hybrid co-generation technologies which will focus on improving efficiency in existing applications, reducing cost of balance of system.
i. To achieve the grid parity in next 7-8 years, the State will encourage the Solar Power Developers to establish manufacturing plant of their technology in Rajasthan.
j. Establishment of an industrial set-up involving both domestic and foreign manpower participation which will promote Rajasthan as a global tourist destination.
k. Create a solar centre of excellence which would work towards applied research and commercialization of nascent technologies to accelerate the march to grid parity.
The Government of Rajasthan supports development of both solar thermal and solar photovoltaics power generation. Government of Rajasthan is encouraging private sector projects through fiscal and promotional incentives for the renewable energy sector. Parallel efforts are underway in the area of solar PV in which pilot-scale grid-connected solar PV power systems (25 KW to 100 KW) are under trial operations in addition to stand-alone projects in remote unelectrified areas.
In Rajasthan, the State Government plans to establish a Solar Energy Enterprises Zone (SEEZ) in the districts of Barmer, Jaisalmer and Jodhpur by offering a package of incentives to private investors willing to develop various solar power technologies including solar thermal, solar photovoltaics (SPV), solar chimney etc.
An International solicitation recently issued by Rajasthan has yielded two 50 MW solar PV power stations as well as one solar chimney project (200 MW) to be operated on an Independent Power Production (IPP) basis. In Rajasthan, the Indian Government is about to complete a huge new power station using hybrid systems. This fossil fuel/solar hybrid power plant is poised to generate a huge 140 megawatts of electric power, out of which 40 megawatt will be produced from a large array of solar parabolic troughs.
The technology, which is much more cost effective than photovoltaic cells, uses large parabolic mirrors to focus the sunlight to heat a thermal media, like, gas or steam, which in turn drives a turbine generator. The project cost runs to about $1 million per megawatt and is still considered to be cheaper than the others
.
Rajasthan Renewable Energy Corporation Limited (RREC) Incentives by the State Government under Policy for promoting Generation of Electricity through Non- Conventional Energy Sources, 2004(in brief):
1. Exemption from Electricity Duty: - Consumption of electricity generated by Eligible Power Producers for its captive use or for sale to a nominated third party will be exempted from Electricity Duty @ 50% for a period of 7 years from COD
1. Grant of incentives available to industries: - Generation of electricity from Non-conventional Energy Sources shall be treated as eligible industry under the schemes administered by Industries Department and incentives available to industrial units under such schemes shall also be available to the Power Producers.
1. Single Window Clearance: A State Level Empowered Committee consisting of following will provide single window clearance on proposals received for developing the power plants based on Non Conventional Energy Sources.
SETTING UP OF SOLAR POWER PLANTS IN RAJASTHAN FOR DIRECT SALE TO DISCOMS OF RAJASTHAN
The Rajasthan State will promote setting up of solar power projects for direct sale to discoms of Rajasthan. The total capacity under this category will be distributed equally between SPV and CSP based power plants. The total maximum capacity under this category for phase-1 (up to 2013) and phase-2 (2013-2017) would be as follows:-
Phase-1
(Up to 2013)
Phase-2
(2013 -2017)
Maximum Capacity to be developed 200 MW 400 MW (Additional) Selection of these Solar Power Projects shall be through tariff based competitive bidding process. The State Government may undertake the review of targets mentioned above as and when the need arises in view of any technological breakthrough resulting in substantial decrease in cost of Solar Power generation.
5.1.6 Utility Grid Power Projects for Captive use /direct sale to 3rd Party/States other than Rajasthan through Open Access for promotion of investment in Rajasthan:
The Rajasthan State will promote Solar Power Producers to set up Solar Power Plants of unlimited capacity for captive use or sale of power to 3rd party/States other than Rajasthan.
5.1.7 Setting up of Rooftop PV and other Small Solar Power Plants connected to LT/11kV Grid:
(i) The Rajasthan State will promote deployment of Roof Top and Other Small Solar Power Plants connected to LT/11kV Grid as per guidelines of MNRE under Rooftop PV & Small Solar Generation Programme (RPSSGP) of NSM and orders of appropriate Regulatory Commission.
(ii) The State will promote setting up of small solar power plants connected at 11 kV grid of 1 MW capacity each for direct sale to State Discoms of Rajasthan. The total capacity under this category will be 50 MW. The selection of the projects will be through tariff based competitive bidding process.
5.1.8 Utility Grid Power Projects for sale through RE (Solar) Certificate Mechanism:
The Rajasthan State will promote Solar Power Producers to set up Solar Power Plants of unlimited capacity for sale through RE (Solar) Certificate mechanism. The Solar Power Producers will be required to apply for accreditation to the State Agency and thereafter to Central Agency for registration and issuance of RE (Solar) certificate under REC mechanism as per order/regulations of appropriate Commission issued in this regard. The Power generated from these power projects shall be purchased by Discoms of Rajasthan at Pooled Cost of Power Purchase as determined by the 8 appropriate Commission from time to time. The Solar Power Producers will sell RE (Solar) Certificates as per the regulations/orders of appropriate Commission.
5.1.9 Setting up of Solar Power Plant for promotion of manufacturing facilities in the State:
The Rajasthan State will promote Solar Power Producers to set up Solar Power Plants along with Solar PV manufacturing plants in Rajasthan. The target under this category will be 200 MW up to 2013. This will result in establishment of 500 MW per annum of SPV manufacturing capacity in the State. Those Solar Power Producers who establish SPV manufacturing plants (thin film technology modules or crystalline technology modules involving processing from wafers stage) of minimum 25 MW per annum capacity in Rajasthan will be eligible for sanction of SPV based Solar Power Plant. The capacity allocation for manufacturing plant will be as follows:-
Sr.No. Per annum production capacity of Manufacturing Plant Capacity allocation for SPV based Solar Power Plant
1. More than 25 MW but less than 50 MW 10 MW
The selection of developers shall be through tariff based competitive bidding. The Solar Power Producer will be required to source SPV modules from their own manufacturing unit established in Rajasthan.
5.2 Decentralized and Off-Grid Solar Applications:
5.2.1 The Rajasthan State will also promote decentralized and off-grid solar applications, including hybrid system as per guidelines issued by MNRE to meet various electrical and thermal energy requirements. Some of the major applications of solar thermal technologies include solar water heaters, solar cooling systems, air drying, steam cooking, power generation, sterling engine. The off grid photovoltaic applications include solar PV home lighting, police stations, communication and lighting, Small powered looms, solar inverter, solar PV pumps, powering computers in schools, Small milk chilling plants, refrigeration for medicine in primary health centers and Hybrid systems for Powering telecom towers etc. The off-grid solar applications shall be promoted for replacement of diesel based generators sets. Guidelines and incentives issued by MNRE from time to time shall be followed in State for promotion of decentralized and off-grid solar applications.
5.2.2 The Rajasthan State will also consider incentives for promotion of decentralized and
off grid Solar applications.
5.3 Setting up of Pilot Demonstration Projects under National Solar Mission’s R& D Initiatives in Phase – 1 of Solar Mission:
Under the Mission, MNRE is supporting to promote technology development and cost reduction by setting up of following demonstration projects:
(1) 50-100 MW Solar thermal plant with 4-6 hours storage (which can meet both morning and evening peak load and increased plant load factor up to 40%)
(2) A 100 MW Parabolic trough technologies based solar thermal plant.
(3) A 100-150 MW Solar hybrid plant with coal, gas or bio-mass to address variability and space-constraints.
(4) 20-50 MW Solar plant with or without storage, based on central receiver technology with molten salt/steam as working fluid and other emerging technologies.
(5) Grid connected rooftops PV systems on selected Government buildings and installations, with net metering.
(6) Solar based space cooling and refrigeration systems to meet day time and summer season peak load. These could be installed on selected Government building and installations.
"The maximum capacity to be commissioned under this Clause will be decided by the Rajasthan Government after studying the subsidy pattern for these demonstration projects under NSM."
5.4 Development of Solar Parks in State:
5.4.1 The Rajasthan State will develop Solar Parks of more than 1000 MW capacity in identified areas of Jodhpur, Jaisalmer, Bikaner and Barmer districts in various stages.
The State Government, under this policy, will act as the facilitator to attract global investment in Rajasthan and will provide the necessary infrastructure, regulatory and other Government support required through the Nodal Agency to rapidly ramp up Solar Power generation capacity in the State. Solar Park shall consist of various zones viz. Solar Power Plants, Manufacturing Zones, R & D and Training Centers zone and other amenities zones. The State will extend all facilities and fiscal incentives provided by Central Government/ National Solar Mission to manufacturers in Solar Parks.
5.4.2 RREC will act as a Nodal Agency for development of Solar Parks in Rajasthan.
A special purpose vehicle (SPV) in form of a subsidiary company of RREC will be established for development of infrastructure and management of Solar Park.
5.4.3 The SPV will formulate Policy and Rules in respect of land allotment, sharing of development cost by the Solar Power producers and manufacturers.
5.4.4 RREC will allocate budget for development of infrastructure in Solar Parks to SPV.
The SPV will develop the initial infrastructure from the funds allocated by RREC, which will be subsequently recouped from the Solar Power Producers whose project are located in Solar Parks by levying development charges.
5.4.5 The State will evolve a separate special package of additional fiscal incentives for solar based industries in Solar Park in consultation with Finance Department & Industries Department, Govt. of Rajasthan.
5.4.6 The arrangement for sale/purchase of power generated from the power plants located in the Solar Parks will be governed by the relevant provisions of this Policy.
The State will endeavor to get special allocation from NSM for Solar Parks.
COMPANIES INTERSTED IN SETTING UP A SOLAR POWER PLANT ,
Every ‘Obligated Entity’ shall procure electricity generated from renewable energy sources as per purchase obligation under existing regulations /orders as may be amended by the commission from time to time
The existing obligation is given below:
Distribution licensees
Captive consumers of CPP
Open access consumers
Table: 1 – Percentage RPO Obligated Specified by Commission
Year
Obligated Expressed as Percentage of Energy Consumption (%)
Distribution Licensee
Captive User
Wind
Biomass
Solar
Total
Total
2011-12
4.50
1.00
0.50
6.00
6.00
2012-13
5.10
1.25
0.75
7.10
7.10
2013-14
5.70
1.50
1.00
8.20
8.20
Table: 2 – Percentage RPO Amended Specified by Commission
Year
Total Energy
(in MU)
Wind Farm
(in MU)
Percentage of Total Energy
(in MU)
Biomass
(in MU)
Percentage of Total Energy
(in MU)
2007-08
36779.41
627.01
1.70
139.19
0.38
2008-09
38952.73
765.60
1.97
174.26
0.45
2009-10
44819.54
995.49
2.22
178.09
0.40
2010-11
46015.15
1387.84
3.02
176.67
0.38
Table: 3 – Percentage RPO Obligated Achieved by Licensee
6. Renewable Energy Certificates (REC)
RECs represent the attributes of electricity generated from renewable energy sources.
Trading of RECs began March, 2011
They are single transfer certificates, with no secondary market
Trading is done on the last Wednesday of every month between 1300-1500 hours
Participation
Voluntary
REC Denomination
1 MWh
Validity
365 Days after issuance
Categories
Solar REC 2. Non-solar REC
Trading Platform
Power Exchanges only
Banking
Not allowed
Borrowing
Not allowed
Transfer Type
Single Transfer type
Penalty for Non-compliance
‘Forbearance’ Price (Max. Price)
Solar (Rs. 13,400/REC) 2. Non-solar (Rs. 3,300/REC)
Price Guarantee
Through ‘Floor’ Price (Min. Price)
Solar (Rs. 9,300/REC) 2. Non-solar (Rs. 1,500/REC)
Price Discovery Mechanism
As per Power Exchanges’ Business Rules for REC
Table: 4 – Key Characteristics of REC
Procedure for Application of Issuance of REC
1. Accreditation
2. Registration
3. Issuance of REC
4. REC Trading at Exchange Platform
5. Surrender/Redeeming of RECs
6. Compliance Reporting
7. Procedure for Application
S. No.
Name of RE Generator
Village
District
Capacity (MW)
1
M/s Dhariwal Industries Limited
Selat
Jaisalmer
8.4
2
M/s Paharpur Cooling Towers Limited
Serawa
Jaisalmer
6.3
In MW
Wind
SHP
Biomass
Solar PV
Solar thermal
TOTAL
Installed
1521.395
23.85
96.3
5.055
0
1646.60
Sanctioned
5333.68
-
51.5
159
420
5964.18
Table: 5 – Wind Power Projects Accredited by RREC under REC mechanism (not registered yet)
The state specific features of REC:
1. If the obligated entity does not fulfill the specified RPO, the Commission may direct the obligated entity to deposit into a separate fund, to be created and maintained by obligated entity , an RPO charge as the Commission may determine on the basis of the shortfall in units of RPO and the forbearance price decided by the Central Commission separately in respect of solar and non-solar REC: Provided that the fund so created shall be utilized, as may be directed by the Commission partly for purchase of certificates through State Agency and partly for development of transmission and sub-transmission infrastructure for evacuation of power from generating stations based on renewable energy sources.
1. Further where any obligated entity fails to comply with the renewable purchase obligation, it shall also be liable for penalty as may be decided by the Commission under section 142 of the Act
1. The SLDC shall comply with all the responsibilities cast upon it under the detailed procedure for REC Mechanism notified by CERC and as amended from time to time.
7. APPC
There are 3 Discoms in state, they are:
Jaipur Vidyut Vitran Nigam Ltd.(JVVNL)
Ajmer Vidyut Vitran Nigam Ltd.(AVVNL)
Jodhpur Vidyut Vitran Nigam Ltd.(JdVVNL)
Revenue and units of electricity sales details from ARRs of the discoms
Manufacture / market solar lanterns, solar home systems, Street lighting system, stand alone power plants, solar pumps. The details of the incentives are given below.
It may make sense for individuals to tie up with large cos that manufacture these. Or better still become an agent for a large company that manufacture these products and market them.
Pattern of Central Financial Assistance (CFA) for SPV Systems:
SPV System
CFA for General Category States
CFA for Special Category States
Administrative Charges
Solar lanterns (10W module, 7W CFL)
Nil
Rs. 2,400
Rs.100
Solar Home System – Model 1 (18W module, 1 light)
Rs. 2,500
Rs. 4,500
Rs. 200
Solar Home System – Model 2 (37W module, 2 lights)
Rs. 4,800
Rs. 8,660
Rs. 200
Solar Home System – Model 3 (37W module, 1 light, 1 Fan)
Rs. 4,800
Rs. 8,660
Rs. 200
Solar Home System – Model 4(74W module, 2lights, 1 Fan)
Rs. 4,800
Rs. 8,660
Rs. 200
Solar Home System – Model 5(74W module, 4lights)
Rs. 4,800
Rs. 8,660
Rs. 200
Street Lighting Systems – (74W module, 1-2 lamps)
Rs. 9,600
Rs. 17,300
-
Stand alone power plant of capacity more than 1Kwp
Rs. 1,25,000/KWp
Rs. 2.25,000/KWp
Rs. 10,000
Stand alone power plants of capacity more than 10Kwp with distribution line
Rs. 1,50,000/KW
Rs. 2,70,000/KW
Rs. 10,000
Solar Pumps
Rs. 30/Wp, subject to a maximum of Rs. 50,000/- per system
Rs. 30/Wp, subject to a maximum of Rs. 50,000/- per system
* A low cost solar energy solution for the Indian industries
Solar Heat for Industrial Purposes, SHIP for short, the Market in India, the Business, the Opportunity, Cost Advantage of Solar Process Heat.The market for industrial heat in boilers is estimated to be26 billion US dollars per annum in USA alone. Solar steam produced is estimated to cost $ 4.60 per MBTU compared to average cost of natural gas powered steam of about $ 6 to $ 10 per MBTU. This estimate is as per one the companies in Solar Heat for Industrial processes (SHIP). Indian entrepreneurs should take up such projects that cut down co2 emission and is less expensive. There are several companies that are into SHIP in USA. One of them claims that their process is CO2 emission free. Obviously because they use solar energy. The company also claims a reduction in the cost by as much as 50 %. That is a lot. Those interested must act fast.
Many factories, companies, office complexes, textile factories, cement factories, sugar mills and many other small and medium industries need back up power.
What is being talked about as an opportunity is this back up power. Actually already many companies in India already have captive power generation. But there a lot more number of companies in India which can benefit from this captive power plant from solar energy.
There are some financial benefits and also the benefits of RECs otherwise known as Renewable Energy Certificates which are tradeable. There is good report on this at http://www.eai.in/ref/reports/captive_power.html
Reading up the report will open up the opportunity for the above mentioned factories for their own backup power ie captive power. Those who are marketing minded and those who are solar energy consultants or renewable energy consultants, this is a very good business opportunity in India.
MNRE expects that there is going to be a need for 100,000 trained professionals in the next 8 years. I think that is a gross underestimate. This opportunity is not just for individuals who want to learn and get jobs. Or learn and start a business or set up a training center as a businessman. OR u can even set up an online course for the whole world. The limitations are your imagination. I foresee many training centers both for unskilled and for post graduation education courses happening soon. The course contents given in the sample solar education centers, will be Indianised by the shrewed Indian businessmen. Some of them may go for tie up with universities abroad. For example they may have a tie up with a US university in Pune or a tie up with a European university in Jalgaon.
Good opportunity to get into Solar education, Training.
Opportunity exists as a nationwide company, as a college, as a university, providing Graduations/ Degrees or practical training for the blue collars, providing certificates /diplomas.
When the surge comes there will be a need for trained professionals. Can be a franchisee also.
In a Global Clean Technology Conference on February 23-24 in New York, with more than 100 public and private companies and 700 attendees, including strategic and financial investors, high-level policymakers and industry thought-leaders in attendance the following question was asked as a part of a Survey.
Question:
Within solar, which sectors of the supply chain are the most attractive investment themes?
(Please rank with #1 being the strongest):
Inverters 1
Cells/Modules 2
Projects/Installation 3
Polysilicon 4
Manufacturing Equipment 5
Wafers 6
The result of the survey is given in green color.
Inverters!!
That is why I am calling it a great solar business opportunity in the Indian market too.
700/800 of the world’s leading practioners have identified Inverters as the most attractive investment theme.
The electrical needs of rural households are relatively small (0.5-2.5 kWhr per day) and a micro-grid system of 20-35 kW would suffice a small village. This may not be a 100 % solar solution. The solution to the villages can be hybrid.
Will research and write more about this opportunity soon.
India on an average has 300 clear days of sun and the radiation in most parts is 4.5 to 6 kWh/m2/day, which is pretty high. Solar thermal projects concentrate sunlight on a fixed point and uses a medium to move the stored heat energy to a place where it can be converted into electricity by superheating water into steam and using the steam to turn a turbine that generates electricity—ultimately the same process that natural gas and coal-fired power plants use to generate electricity.
Solar dryers can be used in agriculture.At present the waste is just exposed to the sun and dried. Solar water heating. It is being made mandatory in many states to heat water for bathing purposes with solar water heater in all new buildings. Solar thermal can be used for cooking, community cooking in hotels, villages, schools in villages, etc. Several industries that need low to medium heat can use solar thermal technology to reduce air pollution and carbon foot print.
This opportunity is for the technically minded. This opportunity exists for small medium and even big companies.
The blog gives as of now basic insight of a Solar Refrigerator.
It also provides information on manufacturers in India and abroad.
There are many villages without electricity and they need refrigeration for the individul households, for preserving the produce of that village. Very soon, we will have information on market potential of solar refrigerators in India's villages, market size of solar refrigerators in other markets. Cost of solar refrigerators and actual cost of refrigeration etc also would be made available soon.
There are going to be about 60 solar cities coming up across India. What business opportunity exists in this solar city concept of MNRE is a question in the young minds of Indians. Will try and answer them in the coming weeks. Stay tuned.
Besides suggesting business opportunities in solar energy in India for large and medium companies, I thought it will be useful for small and individual players, if I can explain as to how they can get into solar business in India, it will be useful.
There are bound to be opportunities for individuals, SMEs to take advantage of Solar City concepts. Let them start coming up and we will identify ' solar city' opportunities there.
This opportunity has not been updated, because, there are no proper guidelines from the respective State Governments. Once the policies come out, opportunities will be identified and posted here.
With global warming, there is global cooling also that happens. During winter, the North of India becomes too chill to manage. Every urban household would do with an Air Heater, a solar air heater. Even the rural households and the households in the unelectrified villages will need an air Heater. The old and the young suffer in cold and air Heater is not a luxury any more.
It is a good opportunity to manufacture AIR Heaters and market in such cold markets.
All discussions, questions pertaining to this opportunity to be restricted to this blog.
No 18, Chinthamani, Rangaswamy Road, R S Puram, COIMBATORE - 641002 (Also serves JODHPUR)
Call: (91)-(422)-4292316, (91)-7708902222 Nepc India Ltd Be First to Rate No 36, Chepauk Stadium, Wallajah Road Anna Salai, Triplicane, Chennai - 600005 (Also serves JODHPUR) |
Call: (91)-(44)-28411777, (91)-9710997277
Surat Exim Pvt Ltd Be First to Rate 2030 Jash Textile Market, Shara Darwaja, Ring Road, SURAT - 395002 (Also serves JODHPUR)
Call: (91)-(261)-2336667, (91)-9227455399
Defence Electrinics.
Circuit House Road, Youth Hostel, RATANADA, - 342001 |
Call: (91)-(291)-3240603, (91)-9829685000
Narayan Electronics
713-B, Megh Niwas, Opp. Marudhar Gas Agency, Rajasthan State Handloom, 7TH Pal Road, SARDARPURA, - 342003 |
Call: (91)-9414319568 |
Satnam Electronics
Inside Sojati Gate, Kaviraj JI KA Bada, Sojati Gate, Jodhpur - 342001 | Call: (91)-9414410687
1003, 10th Floor, Angal Bhawan, 16th K G Marg, K G Marg, Delhi - 110001 (Also serves UDAIPUR-RAJASTHAN)
Call: (91)-(11)-43588640, (91)-9212362222
Solar helpline
106 A Allied House, NR Inderlok Metro Station, Indralok, Delhi - 110035 (Also serves UDAIPUR-RAJASTHAN)
Call: (91)-(11)-23658597, (91)-9811611004
Solar India Inc
1/2 Old Palasia, 105 Apollo Arcade, Palasia Police Station, Indore, - 452003
Call: (91)-(731)-2560554, (91)-9870001401
Surat Exim Pvt Ltd
2030 Jash Textile Market, Shara Darwaja, Ring Road, SURAT - 395002 (Also serves UDAIPUR-RAJASTHAN)
Call: (91)-(261)-2336667, (91)-9227455399
Solar inverter dealers
Astech Compupower PVT LTD
Ho- E-428, Bh Sanjay Public School, LAL Kothi, Jaipur, Udaipur H O, Udaipur-Rajasthan - 313001
Call: (91)-9414071578
Entegra Limited
1003, 10th Floor, Angal Bhawan, 16th K G Marg, K G Marg, Delhi - 110001 (Also serves UDAIPUR-RAJASTHAN)
Call: (91)-(11)-43588640, (91)-9212362222
Nepc India Ltd
No 36, Chepauk Stadium, Wallajah Road Anna Salai, Triplicane, Chennai - 600005 (Also serves UDAIPUR-RAJASTHAN)
Call: (91)-(44)-28411777, (91)-9710997277
Surat Exim Pvt Ltd
2030 Jash Textile Market, Shara Darwaja, Ring Road, SURAT - 395002 (Also serves UDAIPUR-RAJASTHAN)
Call: (91)-(261)-2336667, (91)-9227455399
Indo Power Systems
22, Indraprastha Complex, Delhi Gate, Udaipur H O, Udaipur-Rajasthan - 313001
Call: (91)-9928014069
*
Barefoot College, a unique institution in Ajmer, Rajasthan, described as the world’s only college built by and for the poor, is the subject of a new documentary airing on PBS next week.
The Emmy Award-winning Independent Lens series will air “Solar Mamas,” a documentary about the groundbreaking Barefoot College, Nov. 5.
“Solar Mamas” is directed by Mona Eldaief and Jehane Noujaim. The film follows Rafea, a smart, strong-willed 32-year-old Jordanian mother of four who travels outside her village for the first time, children in tow, to attend Barefoot’s solar engineering program.
Rafea’s fellow students, including women from Guatemala, Kenya, Burkina Faso, and Colombia, come together for a life-changing, six-month job training program designed to transform them into solar engineers. The women then return to their home countries, changed and ready to change their communities for the better.
However, in Rafea’s case, her husband objects to her plans, and threatens to divorce her and take her children back unless she quits the project.
Barefoot College was founded by Sanjit “Bunker” Roy, a Doon School and St. Stephen’s School graduate and national squash champion who gave up a career in athletics to devote his life to activism. Inspired by the work of Mahatma Gandhi, he founded the school in 1972 to teach rural people sustainable skills.
More than 3 million people have been trained at the Barefoot School, in subjects such as solar energy, education, water, health care, people’s action, rural handicrafts and wasteland development.
Recognizing Roy’s work, Time magazine named him one of its 2010 “Time 100” most influential people. “Roy has nurtured a grass-roots social entrepreneurship that is redefining the way the world thinks about fighting poverty … Roy combines humanitarianism, entrepreneurship and education to help people steer their own path out of poverty, fostering dignity and self-determination along the way. His simple formula holds a key to what nations and aid organizations might do to build a more just world,” the Time article stated.
In Buildings Rooftop solar power plants, Solar Water Heaters, Energy Efficient Lights, Energy efficient designs, GRIHA Ratings. Solar air conditioning etc.
Solar business opportunity In Shopping Malls Rooftop Solar Power Plants, Solar Garden lights, Solar Road Studs, Solar Water Heater for Canteens, kitchen waste plants etc.
Solar business opportunity In University/Colleges Rooftop Solar Power Plants, Solar Garden lights, Solar Road Studs, Solar Water Heater for Canteens and Hostels, Solar Cooking, Solar Lightings, solar street lightings, Kitchen waste plants etc.
Solar business opportunity In Hostels Solar Water Heaters, Biomass gasifier based cooking, Solar Cooking, Kitchen Waste based plants, Solar Lightings,
Solar business opportunity In Vegetable Markets Solar Lanterns for Road Shops, Market Waste based Plants, Solar lightings, Solar cold storages etc.
Solar business opportunity In Sewage Treatment Plants Biogas Generation Plants, Power Generation from Biogas, Biogas Cooking, Solar lightings etc.
Solar business opportunity In Roads Solar Street Lighting Systems, Road Studs, Solar Traffic Signals, Solar Street Light Controls etc
Solar business opportunity In Transportation Battery Operated Vehicles, Biodiesel based Buses/ Vehicles etc.
Solar business opportunity In Residential Houses Solar Water Heaters, Solar Power Generators, Solar Inverters, Solar Home Lighting System etc.
Solar business opportunity In Advt. HoardingsSolar Hoardings, CFL/LED replacement in hoardings
Solar business opportunity In Markets Solar Generators, Solar Water Heaters, Solar Power Plants, Solar Lighting Systems, Solar Lantern etc.
Solar business opportunity In Hotels Solar Water Heaters for water preheating ( air conditioning plant, laundry , kitchen, swimming pool), Waste based Plants, Solar Garden Lights, Solar Road Studs, solar streetlights with automatic control.
Solar business opportunity In Hospitals Solar Water Heaters ( air-conditioning plant, laundry , kitchen, incinerators/autoclaves), Solar Roof TopPower Plants, Solar Lightings, Solar Street Lights, Road Studs
Solar business opportunity In Restaurants Solar Water Heaters, Solar Lightings, Solar Cooking, Gasifier Based Cooking
Solar business opportunity In Schools Solar Cooking for Midday Meals, Solar Lightings,
Solar business opportunity In Data Center Solar lighting , solar air conditioning
Solar and other business opportunity In MSW Sites Suitable Technology for MSW Treatment i.e., Inciration, Landfill, Biomethanation, Palletization
Solar and other business opportunity In Industry Waste heat recovery, process heat recovery, biogas production for thermal and captive power plant ,biomass gasification, cogeneration , biomass based power plants, SPV power plants in place of conventional diesel generation, Solar Water Heaters, solar street lights for industry campus with automatic control, solar drying, Solar air conditioning etc.
5. Targets:
To achieve the objectives of this Policy, the targets are as under:
5.1Grid Interactive Solar Power Project:
5.1.1 Under MNRE Generation Based Incentive Scheme (Ongoing Scheme):
The State Government has sanctioned two Solar Power Projects of 5 MW capacity under the GOI guidelines for Generation Based Incentive for Grid Interactive Solar Power Generation Projects issued by MNRE vide letter No. 32/61/2007-08/ PVSE dated 24.1.2008 . The State shall support early execution of MNRE sanctioned solar power projects.
5.1.2 Solar Power Plants sanctioned under the orders of RERC:
The Rajasthan State has sanctioned 66 MW solar power projects in compliance of the RERC’s orders. These sanctioned projects were migrated to National Solar Mission by the State Government. MNRE, GoI has already sanctioned these projects under migration scheme of NSM. The power produced from these solar power plants shall be procured by NVVN as per mechanism provided under National Solar Mission Phase-1. The Discoms of Rajasthan shall purchase this solar power from NVVN along with the equivalent amount of MW capacity from the unallocated quota of NTPC stations allotted to NVVN by Ministry of Power, GoI.
5.1.3 Development of 50 MW SPV and 50 MW Solar Thermal Power Plants by selection of Solar Power Producers through tariff based competitive bidding process on concept of bundling of Solar Power with equivalent amount of MW capacity of conventional power:
The Rajasthan State will develop 50 MW SPV and 50 MW Solar Thermal Power Plants through selection of developer(s) by the tariff based competitive bidding process on concept of bundling of Solar Power with equivalent amount of MW capacity of conventional power. The successful bidder will set up Solar Power Plant in Rajasthan and supply equivalent amount of MW capacity of conventional power from Conventional Power Plants located anywhere in India. The entire power from the Solar Power Plant and equivalent amount of MW capacity of Conventional Power Plant shall be purchased by Discoms of Rajasthan on tariff determined by process of competitive bidding and approved by RERC.
5.1.4 Setting up of Solar Power Plants under National Solar Mission (NSM) for promotion of investment in Rajasthan:
The Rajasthan State will promote setting up of Solar Power Plants connected at 33 kV & above level under the guidelines of National Solar Mission (NSM). The power produced from these power plants commissioned in phase-1 of National Solar Mission shall be sold to NVVN as per the guidelines issued by MNRE/NVVN. NVVN will subsequently, sell this power along with equivalent amount of MW capacity of conventional power from unallocated quota of NTPC stations to the States. The mechanism for power purchase for subsequent phases of NSM shall be as per
guidelines issued by MNRE. The Discoms of Rajasthan shall have right of refusal to the power offered to the State Discoms under policy of NSM. The Discoms of Rajasthan will exercise their right of refusal once after the registration of project and before approval of project by SLEC.
5.1.5 Setting up of Solar Power Plants in Rajasthan for direct sale to Discoms of Rajasthan:
The Rajasthan State will promote setting up of solar power projects for direct sale to Discoms of Rajasthan. The total capacity under this category will be distributed equally between SPV and CSP based power plants. The total maximum capacity under this category for phase-1 (up to 2013) and phase-2 (2013-2017) would be as follows:-
Phase-1
Phase-2
(up to 2013)
(2013 -2017)
Maximum Capacity to be developed
200 MW
400 MW (Additional)
Selection of these Solar Power Projects shall be through tariff based competitive bidding process. The State Government may undertake the review of targets mentioned above as and when the need arises in view of any technological breakthrough resulting in substantial decrease in cost of Solar Power generation.
5.1.6 Utility Grid Power Projects for Captive use /direct sale to 3rd Party/States other than Rajasthan through Open Access for promotion of investment in Rajasthan:
The Rajasthan State will promote Solar Power Producers to set up Solar Power Plants of unlimited capacity for captive use or sale of power to 3rd party/States other than Rajasthan.
5.1.7 Setting up of Rooftop PV and other Small Solar Power Plants connected to LT/11kV Grid:
(i) The Rajasthan State will promote deployment of Roof Top and Other Small Solar Power Plants connected to LT/11kV Grid as per guidelines of MNRE under Rooftop PV & Small Solar Generation Programme (RPSSGP) of NSM and orders of appropriate Regulatory Commission.
(ii) The State will promote setting up of small solar power plants connected at 11 kV grid of 1 MW capacity each for direct sale to State Discoms of Rajasthan. The total capacity under this category will be 50 MW. The selection of the projects will be through tariff based competitive bidding process.
5.1.8 Utility Grid Power Projects for sale through RE (Solar) Certificate Mechanism:
The Rajasthan State will promote Solar Power Producers to set up Solar Power Plants of unlimited capacity for sale through RE (Solar) Certificate mechanism. The Solar Power Producers will be required to apply for accreditation to the State Agency and thereafter to Central Agency for registration and issuance of RE (Solar) certificate
under REC mechanism as per order/regulations of appropriate Commission issued in this regard. The Power generated from these power projects shall be purchased by Discoms of Rajasthan at Pooled Cost of Power Purchase as determined by the appropriate Commission from time to time. The Solar Power Producers will sell RE (Solar) Certificates as per the regulations/orders of appropriate Commission.
5.1.9 Setting up of Solar Power Plant for promotion of manufacturing facilities in the State:
The Rajasthan State will promote Solar Power Producers to set up Solar Power Plants along with Solar PV manufacturing plants in Rajasthan. The target under this category will be 200 MW up to 2013. This will result in establishment of 500 MW per annum of SPV manufacturing capacity in the State.
Those Solar Power Producers who establish SPV manufacturing plants (thin film technology modules or crystalline technology modules involving processing from wafers stage) of minimum 25 MW per annum capacity in Rajasthan will be eligible for sanction of SPV based Solar Power Plant. The capacity allocation for manufacturing plant will be as follows:-
Sr.No.
Per annum production capacity of
Capacity allocation for SPV
Manufacturing Plant
based Solar Power Plant
1.
More than 25 MW but less than 50 MW
10 MW
2.
50 MW and above
20 MW
The selection of developers shall be through tariff based competitive bidding. The Solar Power Producer will be required to source SPV modules from their own manufacturing unit established in Rajasthan.
5.2Decentralized and Off-Grid Solar Applications:
5.2.1 The Rajasthan State will also promote decentralized and off-grid solar applications, including hybrid system as per guidelines issued by MNRE to meet various electrical and thermal energy requirements. Some of the major applications of solar thermal technologies include solar water heaters, solar cooling systems, air drying, steam cooking, power generation, sterling engine. The off grid photovoltaic applications include solar PV home lighting, police stations, communication and lighting, Small powered looms, solar inverter, solar PV pumps, powering computers in schools, Small milk chilling plants, refrigeration for medicine in primary health centers and Hybrid systems for Powering telecom towers etc. The off-grid solar applications shall be promoted for replacement of diesel based generators sets. Guidelines and incentives issued by MNRE from time to time shall be followed in State for promotion of decentralized and off-grid solar applications.
5.2.2 The Rajasthan State will also consider incentives for promotion of decentralized and off grid Solar applications.
5.3 Setting up of Pilot Demonstration Projects under National Solar Mission’s R& D initiatives in Phase – 1 of Solar Mission:
Under the Mission, MNRE is supporting to promote technology development and cost reduction by setting up of following demonstration projects:
(1) 50-100 MW Solar thermal plant with 4-6 hours storage (which can meet both morning and evening peak load and increased plant load factor up to 40%)
(2) A 100 MW Parabolic trough technologies based solar thermal plant.
(3) A 100-150 MW Solar hybrid plant with coal, gas or bio-mass to address variability and space-constraints.
(4) 20-50 MW Solar plant with or without storage, based on central receiver technology with molten salt/steam as working fluid and other emerging technologies.
(5) Grid connected rooftops PV systems on selected Government buildings and installations, with net metering.
(6) Solar based space cooling and refrigeration systems to meet day time and summer season peak load. These could be installed on selected Government building and installations.
"The maximum capacity to be commissioned under this Clause will be decided by the Rajasthan Government after studying the subsidy pattern for these demonstration projects under NSM."
5.4Development of Solar Parks in State:
5.4.1 The Rajasthan State will develop Solar Parks of more than 1000 MW capacity in identified areas of Jodhpur, Jaisalmer, Bikaner and Barmer districts in various stages. The State Government, under this policy, will act as the facilitator to attract global investment in Rajasthan and will provide the necessary infrastructure, regulatory and other Government support required through the Nodal Agency to rapidly ramp up Solar Power generation capacity in the State. Solar Park shall consist of various zones viz. Solar Power Plants, Manufacturing Zones, R & D and Training Centers zone and other amenities zones. The State will extend all facilities and fiscal incentives provided by Central Government/ National Solar Mission to manufacturers in Solar Parks.
5.4.2 RREC will act as a Nodal Agency for development of Solar Parks in Rajasthan. A special purpose vehicle (SPV) in form of a subsidiary company of RREC will be established for development of infrastructure and management of Solar Park.
5.4.3 The SPV will formulate Policy and Rules in respect of land allotment, sharing of development cost by the Solar Power producers and manufacturers.
5.4.4 RREC will allocate budget for development of infrastructure in Solar Parks to SPV. The SPV will develop the initial infrastructure from the funds allocated by RREC, which will be subsequently recouped from the Solar Power Producers whose project are located in Solar Parks by levying development charges.
5.4.5 The State will evolve a separate special package of additional fiscal incentives for solar based industries in Solar Park in consultation with Finance Department & Industries Department, Govt. of Rajasthan.
5.4.6 The arrangement for sale/purchase of power generated from the power plants located in the Solar Parks will be governed by the relevant provisions of this Policy. The State will endeavor to get special allocation from NSM for Solar Parks.
5.5.2 Solar Steam Systems:
The Rajasthan State will promote the use of solar steam systems for wider applications such as
a) Community cooking in residential institutions/ industrial mess/Hotels /Barracks/ Mid day meal program/Hospitals etc.
b) Industrial application of steam in process industries such as Textile/Food industry etc.
c) Laundries
d) Space conditioning using Vapour Absorption Machines (VAM’s).
5.5.3 Industrial Applications:
The Rajasthan State will promote the use of Solar Water Heating System (SWHS), Solar Steam Systems etc for Industrial applications such as:
a) Process requirements of hot water.
b) Process requirements of steam.
c) Pre-heating applications in variety of Industries.
d) Drying applications.
e) Steam press and laundry units
f) Space conditioning using Vapour Absorption Machines.
g) Solar steam cooking applications in industrial mess/hotels etc.
RAJASTHAN ELECTRICITY REGULATORY COMMISSION
VIDYUT VINIYAMAK BHAWAN, SAHAKAR MARG,JAIPUR
TARIFF ORDER
August 8th, 2012 PRESS RELEASE
The three Discoms namely the Jaipur, Ajmer and Jodhpur Vidyut Vitran Nigam filed petitions for determination of Annual Revenue Requirement (ARR) and tariff for FY 2012-13. They projected an ARR of Rs. 30314 Crore and net deficit of Rs. 12714 Crores after receipt of Govt. subsidy at existing tariff and sought a tariff increase of Rs. 3267 Crores. The Rajasthan Electricity Regulatory Commission has issued tariff order on the petitions filed by Discoms and has determined the ARR as Rs. 23342 Crores with net deficit of Rs. 6614 Crores for FY 2012-13 at existing tariff and a tariff increase which will lead to an overall increase in revenue by Rs. 2821 Crores for twelve month period. For the balance period of the current year, the increase in revenue will be Rs. 1816 Crores. The last tariff revision was made vide Commission’s order dated 08.09.2011.
The salient features of the current tariff order are summarised below and details are available in the enclosed statement:
1. Domestic Category
(a) The energy charges for BPL category consuming up to first 50 units per month have been raised from existing Rs. 2.25/unit to Rs 2.75/unit as proposed by the Discoms. Discoms have mentioned in their petition that subsidy provided from the Government would go up from Rs. 1.40/unit to Rs. 1.90/unit. The effective energy charges for this category after receipt of subsidy from the Govt. will remain unchanged at Rs. 0.85/unit.
(b) The energy charges for Small Domestic category consuming up to 50 units per month have been raised from existing Rs. 2.50/unit to Rs 3.00/unit as proposed by the Discoms. Discoms have mentioned in their petition that subsidy provided from the Government would go up from Rs. 0.80/unit to Rs. 1.30/unit. The effective energy charges for this category after receipt of subsidy from the Govt. will remain unchanged Rs. 1.70/unit.
(c) The energy charges for General Domestic consumers (consuming more than 50 units/month) for up to first 50 units per month have been raised from existing Rs. 2.50/unit to Rs 3.00/unit as proposed by the Discoms.
(d) The energy charges for consumption above 50 units but upto 150 units has been raised from existing Rs. 4.00/unit to Rs. 4.65/unit as against Rs.4.80/Unit proposed by Discoms; for consumption above 150 units but
1
up to 300 units/month the energy charges has been raised from Rs. 4.15/unit to Rs. 4.85/unit against Rs.5/Unit proposed by Discoms and for consumption above 300 units, it has been raised from Rs. 4.35/unit to Rs. 5.15/unit against Rs.5.25/Unit proposed by Discoms.
(e) The Fixed Charges for General Domestic category for four slabs have been revised from the existing Rs. 140/connection/month to Rs. 160/connection/month for first two slabs ,from Rs. 150/connection/month to Rs. 175/connection/month for the third slab and from Rs. 180/connection/month, to 210/connection/month for the last slab respectively as against Rs.50/kW/month subject to a minimum of Rs.175/month proposed by Discoms for first two slabs and Rs.50/kW/month with a minimum of Rs.200/month proposed for the third slab and Rs.50/kW/month with a minimum of Rs.240/month proposed for the last slab.
(f) The energy charges for HT consumers having contract demand over 50 KVA have been raised from existing Rs. 4.15/unit to Rs. 4.95/unit instead of Rs. 5.00/unit as proposed by the Discoms. The Fixed Charges for this category have also been revised to Rs. 140/kVA of billing demand /month from existing Rs. 125/kVA of billing demand /month against Rs.150/KV of billing demand/month proposed by the Discoms.
2. Non Domestic Category
(a) The energy charges, for Consumption upto first 100 units per month have been raised from existing Rs. 5.10/unit to Rs. 5.60/unit instead of Rs. 6.00/unit as proposed by the Discoms.
(b) The energy charges, for consumption of more than 100 units but upto 200 units per month have been raised from existing Rs. 5.50/unit to Rs. 6.00/unit instead of Rs. 6.25/unit as proposed by Discoms.
(c) The energy charges for consumption of more than 200 units per month have been raised from Rs. 5.90/unit to Rs. 6.25/unit instead of Rs. 6.75/unit as proposed by Discoms.
(d) For HT consumers having contract demand over 50 KVA the energy charges have been raised from Rs. 5.90/unit to Rs. 6.25/unit instead of Rs. 6.75/unit as proposed by the Discoms. The Fixed Charges for this category have been raised from Rs. 125/kVA of Billing Demand per month to Rs. 140/ KVA of Billing Demand/month against Rs. 150/kVA of Billing Demand /month as proposed by Discoms.
3. Agriculture Category
(i.) Metered category.
(a) Energy charges for Metered General category of consumers have been raised from Rs. 1.36/unit to Rs. 2.25/unit. Discoms have mentioned in their petition that subsidy provided from the Government would go up from
2
Rs. 0.46/unit to Rs. 1.10/unit. The effective energy charges for this category will be Rs. 1.15/unit after receipt of subsidy from the Govt. The Fixed Charges for this category have been changed to Rs. 15/HP/month subject to maximum of Rs. 250/month against existing Rs. 60/connection/month.
(ii.) Unmetered category.
(b) Energy Charges for Unmetered General category of consumers have been raised from existing Rs. 175/HP/month to Rs. 285/ HP/ Month. Discoms have mentioned in their petition that subsidy provided from the Government would go up from Rs. 90/HP/month to Rs. 175/HP/month. The effective charges for this category will be Rs. 110/ HP/ Month after receipt of subsidy from the Govt. The Fixed Charges for this category have been changed to Rs. 15/HP/month subject to maximum of Rs. 250/month instead of existing Rs. 25/connection/month.
4. Small Industries
(a) The proposal of the Discoms to change the existing structure of energy charges based on load upto 5 kW and above 5 kW to consumption upto 500 units and above 500 units has been accepted by the Commission.
(b) The existing tariff of Rs.4/unit for load upto 5 kW and Rs.4.35/unit above 5 kW has been changed to Rs.4.50/unit for consumption upto first 500 units and Rs.4.85/unit for consumption above 500 units.
(c) Fixed charges have been raised from Rs. 45/HP/month to Rs. 50/HP/month instead of Rs. 60/HP/month proposed by the Discoms.
5. Medium Industries
(a) For LT category, Energy charges have been raised from Rs. 4.75/unit to Rs. 5.25/unit as proposed by the Discoms. Fixed charges have been raised from Rs. 50/HP/month to Rs. 60/HP/month as proposed by the Discoms.
(b) For HT category, Energy charges have been raised from Rs. 4.75/unit to Rs. 5.25/unit as proposed by the Discoms. Fixed charges have been raised from Rs. 112/kVA of Billing Demand per month to Rs. 125/ KVA of Billing Demand per month instead of Rs. 140/ KVA of Billing Demand per month as proposed by the Discoms.
6. Large Industries
Energy charges have been raised from Rs. 5.00/unit to Rs. 5.50/unit as proposed by the Discoms. Fixed charges have been raised from Rs. 125/kVA of billing demand /month to Rs. 140/kVA of billing demand /month against Rs. 150/kVA of billing demand as proposed by the Discoms.
3
7. Other Important Decisions:
(i) Non acceptance of proposal for levying fixed charges on the basis of connected load on Domestic and small Non Domestic consumers
Discoms had proposed to levy fixed charges with provisions for minimum fixed charges on the basis of connected load on Domestic and small Non Domestic consumers. A number of stakeholders pointed out that this would lead to harassment of the consumers as the verification of actual load at the consumer premises would be necessary and possibility of inaccurate verification cannot be ruled out. The said proposal of the Discoms has not been accepted by the Commission.
(ii) Abolition of high Voltage rebate
Commission has not accepted the Discoms proposal of not allowing the voltage rebate to the consumers who opt for supply at lower voltages than prescribed in the character of service.
(iii) Introduction of Demand Based Tariff for LT Medium Industrial consumers
At present only HT consumers are allowed to opt for demand based billing whereas LT consumers are billed on the basis of sanctioned connected load. Now a MIP consumer may also opt for billing on the basis of demand and in that case fixed charges as applicable for MIP-HT category shall apply and other provisions relating to billing demand and excess demand surcharge as applicable for HT-MIP consumers shall also apply.
The Commission also wishes to extend this facility in phased manner based on examination of metering status and feasibility in respect of other consumer categories.
8. Impact of tariff revision
The tariff revision allowed by the Commission will result in generation of additional revenue of Rs. 1095 Crores, Rs. 794 Crores and Rs. 932 Crore for JVVNL, AVVNL & JdVVNL respectively in a twelve month period. However, in the current year additional revenue will be available for lesser period and will be Rs. 705 Crores, Rs. 511 Crores and Rs 600 Crore for JVVNL, AVVNL & JdVVNL respectively.
9. Procedure followed by the Commission
The Commission had published salient features of the tariff proposals of the Discoms in newspapers and had made wide publicity for the general public to provide them opportunity to give their comments and objections on the tariff proposals. In all 40 comments/objections were received on JVVNL’s petition, 24 objections on AVVNL’s petition and 22 objections on JdVVNL’s petition from various stakeholders. Comments of the Discoms were obtained on the objections and the Discoms also conveyed their comments directly to the objectors.
4
All those persons who requested for personal hearing were given an opportunity to personally present their points of view in the public hearing held at Jaipur on 02.05.12 and 03.05.2012. The Chairman of the Discoms also presented the briefs of the proposals for tariff revision and responded to the queries raised by the objectors.
10. Order of the Commission
The Commission has made its detailed order after considering objections and comments of the stakeholders/objectors and the arguments of the Discoms.
All existing provisions which are not modified by this order shall continue to be in force. Discoms are required to publish salient features of tariff within one week in two daily newspapers in Hindi and one in English, having wide circulation in their respective areas of supply. The tariff shall come into force only after such publication.
Tariff order is also being placed on website of Commission for reference.
A low cost solar energy solution for Indian industries
Solar energy for paper making, food processing and petroleum processing A business opportunity in India ! It is one thing to make electricity from the sun. Which is what most of us are trying. All the solar power companies are upto the same.Heres a new startup call Thermatta.IT is funded by Bill Gross' Idealab. Thermatta build solar powered boilers. The boilers produce steam for industrial activities viz paper making, food processing and petroleum processing. It can obviously be extended to other industrial activities similar to these. Many of these industries currently use standard boilers, normally powered by natural gas or coal. Brad Hines the CEO of Thermatta expects that the market for industrial heat in boilers is estimated to be 26 billion dollars per annum. The idea of Brad Hines is pretty simple. It is setting up heliostats ie big mirrors atop the factory. These heliostats concentrate sunlight onto a receiver on top of an adjacent tower. The heat generated in the tower powers the boiler to produce steam. I guess they will soon go for the Beam Down model for better efficiency. Solar steam produced the Thermatta way, costs $ 4.60 per MBTU compared to average cost of natural gas powered steam of about $ 6 to $ 10 per MBTU . Indian entrepreneurs, should take up such projects, that cut down co2 emission and is less expensive. CO2 emission free and a reduction in the cost by as much as 50 %. What is amazing is that Hines says that the pay back period is just two years. Indian entrepreneurs cant ask for more. They shoud start doing research right away. Or they should tie up with the companies in usa which are into this. So far Thermata has a partnership with boiler and receiver maker Aalborg CSP, and has the benefit of the experience developed in the solar thermal incubation lab of Idealab. Hines was the founding CEO of concentrating solar photovoltaic startup Soliant Energy, and was VP of engineering for Idealab’s CPV startup Energy Innovations. Before that, he worked in NASA’s Jet Propulsion Lab for 14 years. Hines said that the company has been backed by $500,000 in funds from Idealab and is looking for another $600,000 from investors to build its first pilot system by 2012. Competitors include Sopogy, Chromasun, Heliodynamics and Cogenra. The cost of doing such research doesnt seem too steep for indian entrepreneurs. Indian entrepreneurs can do their own research. Join with the above companies and participate in their equity. Or they can become the distributors of such companies which have started commercialising the technology.
The Rajasthan Cabinet on Wednesday cleared the State's Solar Energy Policy 2011. The policy envisages generation of 1,500 MW power through solar energy by 2013-14 with an investment of Rs.15,000 crore from the private sector.
Chief minister Ashok Gehlot said the new policy would facilitate an additional 3,000 MW generation capacity to the State between 2014-15 and 2017-18. "Many private investors have shown keen interest in setting up solar power generation units in Rajasthan and by 2018 we expect an investment of Rs.20,000 crore in the sector," he observed. The policy also outlines a plan for establishing manufacturing centres of solar energy equipment of 500 MW capacity by 2013-14 with an investment of Rs. 2,000 crore.
"The policy has been prepared in order to promote solar powe production and bring in maximum investments into the state. The government aims to develop Rajasthan as a hub of solar energy. Under the Jawaharlal Nehru National Solar Mission, Indiaplans to produce 1,000 MW of solar energy, of which 50% has to be done in this desert state,'' Gehlot told the media after the cabinet meeting. He added the first solar plant would soon come up in Nagaur with a capacity of 2.5 MW while the second will be at Bikaner.
The Rajasthan state is expected to generate up to 1,500 MW from solar energy by 2013-14 and expecting an investment of Rs 15,000 crore in the private sector. The production would be increased to 3,000 MW by 2017-18 with an additional investment of Rs 20,000 crore. "Apart from large investments coming to state, employment opportunities will also be created. The policy has a provision of allotting land for solar energy plants at 10% of the DLC rates in the area,'' said Gehlot.
Sanjit Bunker Roy, an Indian educator, has, since 2005, succeeded in bringing 140 such women to the Barefoot College, a school he founded in 1972 in Tilonia, a village in Rajasthan State, about 95 kilometers, or 60 miles, from the state capital, Jaipur.The women are taught to install integrated circuit boards for solar home lights and off-grid solar units generating up to 500 kilowatts per day
Then they return home to electrify their villages.
According to Barefoot College, in the five years since Mr. Roy extended his program to Africa, the 140 women have providedsolar powerto 9,118 remote homes in 21 African countries.
Apart from being one of the finest birding areas, theKeoladeo bird sanctuaryin Bharatpur, Rajasthan would
soon go solar. It will be one of its
only kind of park to be completely free fromconventional energysources.All sources using
conventional energy would be replaced with those dependent on solar energy.
Rajasthan Renewable
Energy Corporation Limited has floated tenders for 10 solar power plants of 200
wattage power at all the chowkis in the park, a 8-KW grid-solar hybrid power
plant at the Dr Salim Ali Convention Centre and another such 2-KW plant near
the entrance gate. Solar lanterns and solar searchlights will also be procured
as will be three six-seater battery-operated cars to take tourists on safaris.
Solar Lighting allows rural families
to extend their working day in the evening. Many villages where solar
lights are installed see an increase in their levels of economic
activity. Installation of solar lamps in villages allows businesses to
operate during the evening. Sun King Solar Lantern improves literacy,
because people can read more easily at night than they could by
candlelight or lamplight.
Allows you to reduce local air
pollution by the use of solar lanterns supplied by illusions4real. Using
solar electric systems decreases the amount of local air pollution. With a reduce in the amount of kerosene used for lighting, there is a equivalent reduction in the amount of local pollution produced. The solar electrification in rural areas also reduces the amount of electricity needed from small diesel generators size.
Reduces kerosene - Kerosene lamps
are a serious fire hazard in the developing world, killing and injuring
tens of thousands of people every year. Kerosene, diesel fuel and
gasoline stored for lamps and small producers are also a threat to
safety, while the solar electric light is entirely safe. Fumes from
kerosene lamps in poorly ventilated houses are a serious health problem
in much of the world where electric light is not available.
Referring to the immense scope for solar power generation in Rajasthan, the Minister said the Centre had sanctioned projects of 600-MW capacity in the sector in the desert State so far.
“We wish [to have] an installed capacity of 1,500 MW of solar power by 2013 with an estimated investment of Rs.15,000
Rajasthan, which boasts the highest DNI ratings in India, separately announced on April 14 a new state solar policy to develop 50 MW of solar PV, and 50 MW of solar thermal power, via competitive bidding. The desert state is committed to becoming a hub for solar power generation, not only to supply its own energy needs, but also to meet those of other Indian states, by creating 10,000-12,000 MW in solar capacity over the next 10-12 years.
Rajasthan will encourage power projects to supply electricity directly to state distribution companies in two phases, starting with 200 MW by 2013, and adding an additional 400 MW capacity between 2013 and 2017. Rajasthan has also called for further development of solar power plants connected to 33 kV and above, under the JNNSM.
Under the new policy developers would be allowed to bundle solar power with the equivalent amount of power from non-renewable sources, generated anywhere in India.
“The state intends to achieve grid parity in the next five years, through a transparent competitive bidding process, for economy of scale development, and this will put particular pressure on high-cost CSP developers,” says Gopal Lal Somani, president, ERA Energy Ltd. CSP developers currently cannot match the cost of production of PV projects, and states may lack patience to allow them to catch up.
Ball in developers’ court
CSP developers face strongest competitive pressures from PV producers. Somani predicts the next phase of reverse bidding in JNNSM phase 2, coupled with competitive bids under Rajasthan’s solar policy, will achieve solar energy at INR 7 per Kwh (PV) in India.
“PPAs with FIT support facilitated by a strong policy in recent time across the globe resulted in bankable propositions for developers to make investment decisions. High Spanish FITs paved the way for large scale solar energy projects, but suppliers of the solar technology and equipment adjusted the capital cost to absorb benefits,” he says.
The challenge for Indian developers is to discover and offer real technology cost breakthroughs, concentrate on development of local resources, R&D, and technical skill. In addition, they must optimise efficiency through innovative measures on thermal storage, he notes.
According to A C Chaubey, addl principal
chief conservator of forests, "The Japanese agency for implementing
development assistance, on a trip through Rajasthan was at ease with the
actual site inspection of work executed. The second phase of the
project will be implemented in 13 districts and fringe areas of 11
protected areas. The project funding for the phase II would be Rs 1,200
to Rs 1,300 crore which would include the state participation."
The focus of the project would be poverty alleviation, tribal uplift for
which the project will undertake work on private lands. This is aimed
at garnering people's participation to improve their livelihood and also
reduce man-animal conflict in the fringe areas of the wildlife parks. "The site inspection by the Japanese team revealed some positive
impact of the first phase, implemented from 2004 to 2010. The number of
BPL families has reduced significantly and survey of 24 villages and six
districts reveal that water table has gone up significantly by five to
eight metres," said Chaubey. This would be the fifth project funded by
the Japanese in Rajasthan, he added. The project completion would
also see large animals from the zoo move into their natural habitat at
the Nahargarh Biological Park. "This would be a five-year project. In
the first phase we plan to complete enclosures for the tiger, lion and
the leopard and shift these animals to a near natural environ," said Y K
Sahu, deputy chief wildlife warden. The requirement for the two
biological parks was Rs 16 crore out of which Rs 2 crores each have
already been spent, said Sahu. Phase I, with an expenditure of Rs
442.14 cr, was spread over 18 districts, of which 16 fell in the
Aravalli Hills area ---- Ajmer, Alwar Banswara, Bhilwara, Chittorgarh,
Dungarpur, Dausa, Jaipur, Bundi, S.Madhopur, Pali, Sikar, Sirohi, Tonk,
Rajsamand and Udaipur. Besides, there were two districts Bikaner and
Jaisalmer in the IGNP areas.
Gantiyali and Girduwara, two small villages in the desert of
Jaisalmer in Rajasthan, had remained without electricity more than six
decades after Independence. Now, thanks to Anand's Sardar Patel
University, the villages are lit through light emitting diodes (LED)
powered by a wind-solar hybrid battery. The brain behind designing and
executing this technology which powers LED home lights and LED
streetlights is S N Jha of Sardar Patel University's Department of
Physics.
"The two villages are the first to have LED lighting
through wind and solar energy," said Jha, director, technical, of the
Self-Financed Research & Development and Consultancy Centre for
Impaired ( SFRCI) at SPU's physics department. Buoyed by the success at
these two border villages, the Rajasthan government has decided to use
this technology to electrify four other border villages: Langtala,
Kuriyabori, Murar and Shagadh.
The ministry of new & renewable energy has said half of the 37
firms awarded solar power projects are yet to achieve financial closure
and their contracts will be terminated if they miss the July 9 deadline.
"Any failure in meeting the deadline would result in forfeiture of bank
guarantees," a senior official in ministry of new & renewable
energy said. He said, the ministry has received financial closure
details of 17 photovoltaic (PV) and two concentrated solar power (CSP)
projects. He declined to name individual developers.
The ministry
had invited international competitive bidding in December last year to
award seven CSP projects with 470 MW capacity and 30 PV projects with
combined capacity of 150 MW under the national solar mission that
provides subsidies to developers.
Developers said that they were
facing problems in getting finance for their projects. "The sector is
new and banks are apprehensive in funding solar projects. They demand
huge collateral which every developer can't afford," one of them said
requesting anonymity.
Recently attended 4th annual conference of solar power organised by Renewable watch magazine. It by many developers , EPC and gov. officials. The Rajasthan gov. representative from RREC told about hte coming up of solar policy and bidding process. The bidding will be competitive like JNNSM and there are many categories ranging from 1MW to 50 MW with various options like bundling and options for manufactures in state. But will the project are financially viable with no actual DNI data, conservative banks with high cost of raising debt and many un-experienced players. The bidding is likely to co-incide with JNNSM second bidding of 300MW projects which will definitely affect the developer participation and concerns of raising loan from the bank. One on the key speaker at the conference said that developers should plan their debt raising which can be a combination of Indian debt and international debt, but before going for international law one should understand the law of land.
The Rajasthan solar policy through its Renewable Energy arm RRECL was released in May 2011 and an enforcement date of 19 April 2011, with the aim of pushing Rajasthan to the forefront of the Solar Movement in India.
The state government has leased out a large amount of land for a pittance for solar farms, and the JNNSM policy was announced which put the brakes on the state. The projects with the land allocated and permissions in place were moved to JNNSM under the migration and small solar scheme, with the vast majority of all solar allocations being given to the state.
There have been almost 1.5 GW of applications to the RRECL and the stated target by the year 2012-14 for Rajasthan is 10 GW with a JNNSM similar coal bundling policy to subsidize tariffs. The first phase of allocations for 100 MW with CSP and PV given equal weightage is believed to begin shortly.
The key goals of the policy were to ensure use of arid land, generate employment, create an industry as well as an R&D hub, and promote the state as a solar hub. However given the poor financial state of the state distribution authorities, whether solar subsidies will be possible for such a large amount is questionable.
Azure Power, pioneering independent power producer in the Indian solar power sector, has today announced a 5 MW solar power plant at Jayal, Rajasthan. The plant is expected to be operational by December 2011. Export-Import Bank of the United States has announced a $16 million of long term financing for the project. http://www.eai.in/club/users/Nikoli/blogs/2249
Let me know various technology in solar energy in brief.
thanks
Leave a Comment
What next?
Subscribe to Our EAI Daily
EAI Daily is India's Most Read Online Newsletter for Renewable Energy. We have 25,000 members and counting. Have You Subscribed to it Yet? It's FREE. Subscribe Now
Leave a comment
If you have a question, update, or comment about the tutorial, please leave a comment. We will respond to every comment, though it may take a few hours, so please check back soon.
Recently attended 4th annual conference of solar power organised by Renewable watch magazine. It by many developers , EPC and gov. officials. The Rajasthan gov. representative from RREC told about hte coming up of solar policy and bidding process. The bidding will be competitive like JNNSM and there are many categories ranging from 1MW to 50 MW with various options like bundling and options for manufactures in state. But will the project are financially viable with no actual DNI data, conservative banks with high cost of raising debt and many un-experienced players. The bidding is likely to co-incide with JNNSM second bidding of 300MW projects which will definitely affect the developer participation and concerns of raising loan from the bank. One on the key speaker at the conference said that developers should plan their debt raising which can be a combination of Indian debt and international debt, but before going for international law one should understand the law of land.