Here’s something interesting Delhi Metro is doing by going solar. Making money, yes!
What was interesting in the news item I read from Business Line is that Delhi Metro Rail Corp (DMRC) are currently procuring power from conventional sources at Rs 7 per unit.
Imagine. Instead of buying power at currently priced at Rs 7 per unit and which will in all likelihood continue increasing for ever, by buying solar power at a 25 year PPA price of Rs 6 per unit, Delhi Metro has tied in the price at Rs 6 for 25 years – well, that is forever, kind of.
So, this is a no-capex model, where someone else has invested money and is just selling power to DMRC.
Now, DMRC wants to benefit even more from the sun. In addition to cutting costs in procuring power, it is also exporting excess power from the rooftops of its residential complex to the grid, and making Rs 9 in the process. That’s neat. When the levelized cost of solar power is Rs 7.04/unit (as estimated by CERC for 2015-16), DMRC is thus also making a neat profit from the power they sell. Note, this is a capex model, where the DMRC owns these panels.
So, on the one hand they save costs from going solar, and on the other, they make profits from having gone solar.
Way to go. Perhaps other metro rails (as and when they come online) should also follow this?