Mercom India Clean Energy Magazine (Nov 2022)

India Installs a Record 10 GW of Solar in 9M 2022

Pooling Wind Power Bids to Boost Installations

The Minister of Power R.K. Singh recently floated an idea for pooling wind power bids under which bids would be called in all the wind-rich states and clubbed together to arrive at an average cost of power

04 22

Uttar Pradesh recently announced the Electric Vehicle Manufacturing and Mobility Policy 2022, enabling a slew of incentives for EV and battery manufacturing in the state

As the ALMM regulations come into effect for open access and net metering projects starting October, the industry remains uncertain of the rise in costs yet hopeful the adoption rate remains consistent

The MNRE has proposed policy for repowering of wind projects aiming to optimally utilize wind turbines with completed lifespan

The solar power generation in India during 9M 2022 continued its upward trend, given the increase in the number of capacity additions during the period

The solar power installed capacity saw a considerable increase during the period, given the rise in utility-scale installations, heading towards its best year so far

The central government amended the Project Import Regulations, to exclude solar projects from the scope of the law, adding to despair of developers looking to import modules at lower rates

According to the data from CEA, MNRE and Mercom’s Solar Project Tracker, the share of renewable energy share in the overall power mix continues to increase with Solar at its forefront

The ISTS charges waiver for Open Access renewable energy projects announced by the MoP is still pending final approval by the CERC, leaving the developers uncertain about setting up new projects

As states penalize developers for selling power to entities other than the state DISCOMs, uncertainty around setting up open access and ISTS projects in such states continues to rise

Punjab’s electricity regulatory commission issued the draft renewable purchase obligation trajectory up to FY30, outlining the wind, hydro, energy storage, and other renewables purchase obligations for the state

The proposed system of uniform solar tariff might face regulatory approval hurdles at state levels as it attempts to encourage reluctant DISCOMs to sign power purchase agreements with flat rates

To reduce stubble burning by utilizing surplus agricultural residue, the MNRE approved the National Bioenergy Program, outlining the various technologies, funding, and commissioning guidelines for bioenergy projects

This is a list of major tenders and auctions from October. A comprehensive list can be found on Mercom’s Tender and Auction Tracker and Alerts

Foreword

With over 10 GW of solar added in the first three quarters of 2022, the Indian solar market will surpass last year's installations and is headed towards its best year. However, domestic supply and demand mismatch could hold the sector back in the short term. Until there is a clear resolution in Rajasthan, delays will continue to impede large-scale projects.

Several large-scale projects in Rajasthan falling under the habitat of the GIB are still in limbo and have postponed their date of commissioning to the following year. Although the Supreme Court passed a ruling in the previous quarter to install bird diverters on overhead transmission lines, 4.8 GW of solar projects still awaits clearance from the Technical Expert Committee.

Most new installations came from solar power in the third quarter. Solar accounted for 76% of the installed capacity during 9M 2022, the largest share captured by solar power compared to previous years.

Rajasthan continued to lead the country's operational solar capacity with around 14.1 GW as of September 2022, accounting for 27.5% of the total installed solar capacity.

Solar project costs have gone up significantly since Q3 2020. Over the nine quarters, project costs have increased by more than 32%.

In Q3 2022, 320 MW of rooftop solar capacity was added in the country. However, the capacity addition was down 17.7% QoQ compared to 389 MW in Q2 and 28.6% compared to 448 MW in Q3 2021.

Uncertainty on the extension of mandatory use of modules enlisted under the 'Approved List of Models and Manufacturers' (ALMM) and module price variations impacted the rooftop installations during the quarter. The shortage of ALMM-approved modules was an added challenge.

In 9M 2022, 1,165 MW of rooftop solar was added, an 11.1% decrease compared to 1,310 MW added in 9M 2021.

The C&I segments, particularly the industries, have been installing rooftop solar to meet their power needs and reduce the cost of operations. Several states have released new electricity tariff orders with increased prices. The C&I segment can dramatically reduce their grid electricity consumption through rooftop solar systems, bringing down overall costs.

The residential rooftop solar segment saw the highest installations since Q3 2021, but developers still struggle with inconsistent and restrictive net metering laws.

Commercial and Industrial consumers have rapidly adopted rooftop solar systems in their establishments due to the recent increase in electricity tariffs in many states. Rooftop solar systems provide an avenue to save costs and run businesses efficiently. However, some companies have held off on incorporating these systems due to the supply crunch in ALMM modules and erratic fluctuations in module prices.

Warehouses, large-format retailers, hospitals, cold storage facilities, and educational institutions were the leading sectors installing solar rooftop systems in the commercial segment.

Next year's outlook depends significantly on how Rajasthan's GIB issue pans out.

Raj Prabhu CEO Mercom Capital Group

Editorial Team

Editorial Staff

Satish Shetty

Rakesh Ranjan Parashar

Utsav Sinha Arjun Joshi

Editor - Research

Suriti K. Prasad Joydeep Sinha Roy

Editor – Data R Govind Sales & Marketing Mayukh Baid

Design and Graphics Lead Hariprasad M Madasamy S

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Pooling Wind Power Bids to Boost Installations

The Minister of Power R.K. Singh recently floated an idea for pooling wind power bids under which bids would be called in all the wind-rich states and clubbed together to arrive at an average cost of power

By : Gourav Mishra

The government is contemplating pooling of bids across the states to boost wind energy installations which have fallen off since 2017. Falling tariffs under the reverse auction regime have pushed developers to bid only in the high plant load factor (PLF) states of Gujarat and Tamil Nadu.

The concentration of development in Gujarat and Tamil Nadu has led to a scarcity of potential wind sites in the two states. The other states were neglected because developers could not bring the power cost under ₹3 (~$0.036)/ kWh due to lower PLF. The distribution companies (DISCOMs) were reluctant to enter into long-term power purchase agreements for such tariffs.

Power minister R.K Singh recently proposed the pooling option under which 8 GW of bids would be announced every year. Under the proposal, wind installation bids would be called in all the wind-rich states, but they would be clubbed together to arrive at an average cost of power.

The states with wind potential are Andhra Pradesh, Gujarat, Karnataka, Madhya Pradesh, Maharashtra, Rajasthan, Telangana, and Tamil Nadu.

Pooling would ensure developers recover their costs even from low PLF areas, which would promote capacity

additions in untapped locations. DISCOMs would also be incentivized because of a flat tariff for all buyers. Additionally, DISCOMs have the mandate to procure wind energy to meet the recently restructured Renewable Purchase Obligation (RPO) obligations.

Earlier this year, the Ministry of Power (MoP) issued the RPO along with Energy Storage Obligation (ESO) for wind, hydro, and energy storage until 2030. The ministry mandated that the wind RPO will be met only through energy produced from wind power projects commissioned after March 31, 2022.

However, developers are cautious about the proposal. Secretary General of India Wind Energy Association Manish K Singh said, “There is no clarity on how the power will be pooled from state to state. The power minister is yet to make more announcements on the development, and the industry is currently skeptical about how it will help reduce the cost per unit or increase wind installations. Currently, we are awaiting a clearer picture on this.”

Wind-Solar Mismatch Wind and solar power together can be complementary for grid safety due to the timing of their peak generation. For instance, while solar power generation

peaks during the day, wind turbines start producing substantially from late evening to the early hours of the morning. It is, therefore, important for a healthy grid that both solar and wind capacities grow at the same rate.

However, wind and solar capacity addition has diverged dramatically in the last eight years. Wind power capacity in March 2014 stood at just over 21 GW and grew by 93% to reach 41 GW in May this year. But solar capacity grew by nearly 2300% during this time, from just about 2.6 GW in 2014 to 59 GW by August 2022.

India has grossly underachieved in wind installation against its potential. The National Institute of Wind Energy (NIWE) has an estimated wind power potential of 302.20 GW at 100 meters above ground level and 695.50 GW at 120 meters above ground level.

The NIWE has said that the potential of about 214 GW has been estimated with more than 30% capacity utilization factor (CUF) and about 57 GW with more than 35% CUF. It implies that more than 200 GW of wind power can be installed in the country with a commercially attractive tariff.

However, the cumulative installed capacity until August 31, 2022, is less than one-fifth of the commercially exploitable potential.

Uttar Pradesh’s New EV Policy

Uttar Pradesh recently announced the Electric Vehicle Manufacturing and Mobility Policy 2022, enabling a slew of incentives for EV and battery manufacturing in the state

By : Arjun Joshi

ttar Pradesh will provide a 30% base capital subsidy for the first two integrated electric vehicles (EV) and ultra-mega battery projects up to a maximum of ₹10 billion (~$121.43 million).

The minimum investment to set up a manufacturing plant must be ₹15 billion (~$182.14 million), and the minimum production capacity must be 1 GWh. The capital investment subsidy will be provided for 20 years in equal annual installments.

The incentives were announced in the recently released ‘Uttar Pradesh Electric Vehicle Manufacturing and Mobility Policy 2022.’ Invest UP, the investment promotion and facilitation agency of the UP government, will be the nodal agency.

Each of the first five mega EV and battery projects will receive up to 20% of the investment, up to a maximum of ₹5 billion (~$60.71 million). Subsidies will be paid out in equal annual installments over ten years.

Large EV and battery projects will receive up to 18% of the investment, up to ₹900 million (~$10.92 million). The subsidies will be paid over ten years in equal installments.

Micro, Small, and Medium Enterprises (MSME) projects will be provided a capital subsidy of 10% of eligible capital investment up to ₹50 million (~$607,134). Subsidies will be paid out in equal annual installments over two years.

The policy will be valid for five years.

To ensure that the beneficiaries optimally utilize the installed capacity, gross capacity utilization multiple (GCM) will be considered as 1 for the first year, provided the capacity utilization for the unit is 40% of the installed capacity. For the subsequent years, GCM will be 1, provided the peak capacity utilization of that year is 75% or more of the installed capacity.

Once commercial production begins, the stamp duty paid on the land purchased or leased to set up an integrated EV or ultra-mega battery project will be reimbursed entirely.

Large and MSME EV and battery projects that obtain certification up to ₹1 million (~$12,149) per unit will be reimbursed half of their quality

certification charges. For large and MSME EV and battery projects acquiring international patents, 75% of the expenditures incurred, up to ₹200,000 (~$2,429), will be reimbursed. The reimbursement for acquiring domestic patents will be capped at ₹50,000 (~$607).

The state government targets a 100% transition of government vehicles for official use to EVs by 2030.

Purchase incentives

There will be a 15% subsidy on the ex-factory price of electric two-wheelers (E2Ws) up to ₹5,000 (~$60) per vehicle. The maximum budget expenditure for E2Ws is ₹1 billion (~$12.1 million), and 200,000 E2Ws will receive the subsidy.

Electric three-wheelers (E3Ws) will receive a 15% subsidy on the exfactory price of up to ₹12,000 (~$145) per vehicle. The maximum budget expenditure for E3Ws is ₹600 million (~$7.26 million), and 50,000 E3Ws will receive the subsidy.

A 15% subsidy will be provided on the ex-factory price of electric four-wheelers (E4Ws) up to ₹100,000 (~$1,210) per vehicle. The maximum budget expenditure for E4Ws is ₹2.5 billion (~$30.25 million), and 25,000 E4Ws will receive the subsidy.

Registration fees and road tax will be exempted for EVs purchased and registered in UP in the first three years of the policy period. To avail of registration fees and road tax exemption in the last two years of the policy period, the EVs must be manufactured, purchased, and registered in the state.

Charging infrastructure

The first 2,000 charging stations will receive a capital subsidy of 20% or up to ₹500,000 (~$6,051) each on the eligible fixed capital investment. The first 1,000 swapping stations will receive a capital subsidy of 20% or up to ₹500,000 (~$6,051) each.

The land will be leased at ₹1 (~$0.012)/ kWh in a revenue-sharing model for ten years to set up charging stations.

Charging and swapping stations having cumulative contract demand of a minimum of 1 MW can procure through open access.

Charging and swapping infrastructure will be built in a grid of 3km X 3km in cities and urban conglomerates. Charging infrastructure will be promoted at a 25 km distance along expressways and highways.

The state government will promote the setting up of collection centers for end-of-life batteries at dealerships of EVs and battery manufacturers in consultation with the Uttar Pradesh Pollution Control Board for battery recycling at these centers. The government will also promote battery disposal facilities at swapping and charging stations.

The policy targets a 100% transition of government vehicles to EVs by 2030

Madhya Pradesh’s New Renewable Energy Policy

The new policy outlines the state’s plans to develop renewable energy projects and various incentives offered to renewable developers, manufacturers, and storage-based projects for the next five years

By : Arjun Joshi

Madhya Pradesh intends to invest ₹150 billion (~$1.82 billion) by 2024 and ₹500 billion (~$6.06 billion) by 2027 for renewable energy generation. The Madhya Pradesh Renewable

Energy Policy 2022 says an investment of ₹40 billion (~$485.62 million) by 2024 and ₹100 billion (~$1.21 billion) by 2027 is planned in renewable energy equipment manufacturing.

The state aims to generate 20% of its

electricity through renewable sources by Financial Year (FY) 2024, 30% by FY 2027, and 50% by FY 2030.

The policy will be valid for five years. The Office of the Commissioner, New, and Renewable Energy Department

under the Madhya Pradesh Government will be the nodal agency for implementing the policy.

Madhya Pradesh aims to develop a 10 GW renewable energy technologybased park by FY 2027. It also intends to develop 4 GW of renewable energy projects for exporting power outside the state by FY 2024 and 10 GW by FY 2027.

The policy aims to make all statelevel government departments green energy-compliant by 2030, leaving a net zero carbon footprint. The state hopes to generate more than 10,000 new jobs in the renewable energy sector by 2024 and 50,000 jobs by 2030.

Incentives for RE developers

Renewable projects will be entitled to receive a 100% exemption from payment of electricity duty on the generation of electrical energy for ten years from the date of commissioning. No energy development cess will be payable on the power supplied by

renewable energy projects for ten years from commissioning. Developers will be eligible for a 50% stamp duty reimbursement on purchasing private land for the project.

The wheeling facility will be available to all renewable power projects through state distribution companies. A 50% waiver on the wheeling charge will be applicable for five years from the date of commissioning.

Incentives for storage

An additional incentive for renewable energy-based projects employing any commercially available energy storage technology will be available. To qualify for this additional incentive, the renewable energy power project having a rated capacity of “X” MW must have a minimum storage capacity of “X/10” MWh. Renewable projects with storage will be exempted from payment of 20% of registrationcum-facilitation fees.

Renewable projects with storage

will be exempted from paying electricity duty for ten years from commissioning projects for power supply to distribution licensees, third parties, or for captive use. Developers will be eligible for a 15% stamp duty reimbursement on purchases of private land for the project.

Incentives for RE equipment manufacturers

Manufacturers investing more than ₹500 million (~$6.07 million) towards renewable equipment manufacturing will be eligible for special incentives under the Industrial Promotion Policy. Investments of less than ₹500 million (~$6.07 million) will be eligible for incentives per the policy of the Medium Small and Micro Enterprise (MSME) department based on investment size.

Similar incentives will apply to green hydrogen production and electrolyzer manufacturers investing more than ₹500 million (~$6.07 million).

Green Energy Open Access Attractive Despite ALMM

As the ALMM regulations come into effect for open access and net metering projects starting October, the industry remains uncertain of the rise in costs yet hopeful the adoption rate remains consistent

By : Rakesh Ranjan Parashar

he widely expected relief for net metering and open access projects has failed to materialize after the September 30 deadline was allowed to expire without an extension from the government. The developers have to mandatorily use domestically manufactured modules from the Approved List of Models and Manufacturers (ALMM) from October 1.

However, this has not dampened the ongoing or planned projects because the savings on power costs for consumers remain attractive despite being restricted by the policy.

A top executive from a leading developer said, “Even if the extension doesn’t come through, the commercial and Industrial (C&I) consumers will continue with open access. With ALMM coming into force, the energy cost from these projects will go up by ₹0.30 (~$0.0036)/kWh-₹0.40 (~$0.0048)/kWh, but the consumers will still stand to save around ₹1 (~$0.012)/kWh-₹1.5 (~$0.018)/ kWh compared to DISCOM retail tariffs.”

Recently, the Ministry of New and Renewable Energy (MNRE) clarified that open access and net metering renewable energy projects that have applied for approval before October 1, 2022, will not come under the purview of the Approved List of Models and Manufacturers (ALMM). But the move is limited in its scope.

The Ministry also stated that the ALMM would not be applicable for behind-the-meter solar power projects used for captive consumption by a consumer or group of consumers.

Despite the continued costeffectiveness of open access and net metering projects to customers, the introduction of ALMM could lead to a longer payback period for projects and dent developers’ margins due to uncertainty around the supply and pricing of domestic modules.

“We will be forced to buy from India, but we don’t have the required module manufacturing capacity here. This will lead to the slowing down of the commissioning of projects, including open access projects,” Rahul Tyagi, GMBusiness Development at Amp Energy, said.

The domestic manufacturing

capacity compared to demand is heavily mismatched, according to Mercom’s Q2 2022 India Solar Market Update.

Some developers warned that consumers should not be taken for granted for incurring expenditure on these projects even if the current calculations show savings on power bills, because serious roadblocks could be in the offing if module prices reach unviable levels.

Sushil Rajguru, Manager-Business Development, Skeiron, said: “It is too early to assess the impact of ALMM order on open access projects, but if the prices go up, it will affect the ongoing projects. The demand for open access may also decrease, as the C&I consumers might prefer waiting for the prices to go down. For developers, the payback time will increase, which is not a good thing.”

Developers have petitioned the government and even the Delhi High Court for an extension on the ALMM requirement for net metering and open access projects. They point out that the policy has enriched the manufacturers at the cost of developers and consumers.

“The manufacturing companies are importing the cells and assembling them here. For cells, you have to pay only 25%

duty; on modules, you have to pay 40%, which goes to around 45% after all the taxes,” Tyagi said.

Net metering and open access projects are in the same situation. Developers aren’t concerned about a slowdown in orders for now, but they feel the immediate future isn’t so secure.

Hitaksh Sachar, Director at Asun Solar Power, said, “Even if the ALMM requirement had got extended, it would not have had an impact on this sector because the Chinese modules after BCD had become unviable, especially with an increasing number of projects being executed.”

Harinarayan, Managing Director, U-Solar said, “If the module prices continue to climb, consumers will not opt out of net metering. They will be sharing a portion of the increase in costs alongside developers while manufacturers benefit.”

Open access and net-metering projects have been popular among consumers since they provide a viable alternative to procuring power from DISCOMs. However, the mandate to procure domestic solar modules without choice and the resultant uncertainty could be a hurdle for these projects making them unattractive for investments.

Anti-Dumping Duty Imposed on Steel Used in Solar Projects

The ministry of Finance imposed an antidumping duty on electro-galvanized steel widely used in solar module mounting structures and other products, as a measure to safeguard the domestic sector

By : Arjun Joshi

he Ministry of Finance (Department of Revenue) has imposed antidumping duty on electro-galvanized steel originating in or exported from South Korea, Japan, and Singapore and imported into India to offset the injury to the domestic industry.

Due to its corrosion-resistant properties, galvanized steel is used in solar energy products, including solar charge controllers, module mounting structures, and support structures.

The Ministry added that the goods had been exported to India below normal values, and the domestic industry had suffered a material injury. The anti-dumping duty will be levied for five years.

Some galvanized steel producers mentioned in the gazette are POSCO Group, Dongkuk Steel Mill Company, Hyundai Steel Company, DK Dongshin Company from Korea, and Nippon Steel Corporation from Japan.

In May, the Department of Revenue imposed a duty of 15% on the export of steel. The move was expected to bring down the prices of solar mounting structures, providing some relief to

manufacturers and project developers.

The duty was imposed on flat-rolled steel products of a width of 600 mm or more, other bars and rods of stainless steel, and bars and rods hot rolled into irregularly wound coils of other alloy steel.

However, the government decided not to impose any duty on importing raw materials used for steel production, like pulverized coal, coking coal, and ferronickel.

The duty has come into place when the solar sector is already staggering with rising prices and duties on multiple products used in power generation

projects. The government has imposed anti-dumping duty on the import of fluoro backsheets (excluding transparent backsheets) from China. Imports of fluoro backsheets from Chinese companies Jollywood and Sunwatt attracted a duty of $762/MT and

$908/MT from other producers.

The Directorate General of Trade Remedies (DGTR) has recommended extending the anti-dumping duty on imported textured tempered glass (solar glass) from China by two more years. It

was first imposed in August 2017 and was to expire in August 2022. An anti-dumping probe was initiated following a request from Indian solar glass manufacturer Borosil Renewables.

DGTR has also recommended anti-dumping duty on certain flat-rolled aluminum products imported from China. Flat-rolled aluminum is used in manufacturing solar module mounting structures for rooftop solar projects.

Policy

Policy to Repower Wind Projects Below 2 MW

By : Arjun Joshi

India has an estimated wind repowering potential of 25.4 GW considering wind turbines of less than 2 MW capacity, according to the ‘Policy for Repowering of the Wind Power Projects, 2022′ issued by the Ministry of New and Renewable Energy (MNRE).

The policy intends to facilitate the optimum utilization of wind turbines below 2 MW whose design life is completed by maximizing their energy yield per square kilometer of the project area by deploying state-of-the-art onshore wind turbine technologies.

Once approved, the policy will annul the earlier wind repowering policy issued in 2016.

Eligibility

Repowering will be allowed for wind turbines with less than 2 MW capacity and whose total capacity has completed 90% of its design life. A set of existing wind turbines will be eligible for repowering if the project area is contiguous land and all turbines considered for repowering are connected to a single polling substation.

For standalone projects, State Nodal Agencies (SNA) or Central Nodal Agencies (CNA) must identify the potential turbines for repowering and elicit interest from the potential project owner. The project owner must then

submit the Detailed Project Report (DPR) for repowering the old project to the SNA or CNA for verification.

Based on the DPR, the SNA or CNA will coordinate with the respective transmission utility for the availability of the transmission capacity, if required. On scrutiny of the project and transmission capacity availability, SNA or CNA can consent to the project developer after obtaining in-principle approval from the distribution company.

Implementation arrangements

In the case of aggregation projects, the SNAs or CNAs can identify the potential turbines for repowering. In such cases, SNAs or CNAs either nominate any state or central public sector enterprise as Wind Repowering Project Aggregators (WRPA) to repower the project or elicit interest from private developers.

The selection of the private developer as WRPAs will be based on minimum technical criteria and the submission of consent letters from all the identified turbine owners.

A private developer can also identify potential turbines for repowering and submit a proposal to the SNA or CNA, along with consent letters from all the identified turbine owners. In such cases, the SNA or CNA must nominate the private developer as the WRPA.

The MNRE has proposed policy for repowering of wind projects aiming to optimally utilize wind turbines with completed lifespan

Arrangement for power purchase

The power generated, corresponding to the average of the previous three years’ generation before repowering, would continue to be procured per the terms of the Power Purchase Agreement (PPA).

If the PPA tenure is less than 25 years, the DISCOM concerned must arrange to extend the tenure of the PPA for 25 years from the original project’s commissioning date and continue to procure the power generated for the remaining tenure of the PPA.

Project developers can sell additional wind power capacity to the incumbent DISCOMs or any other entity through open access if the DISCOM concerned refuses to procure the power. The power procured by the DISCOM concerned will be at the discovered tariff of the project.

Wind turbines undergoing repowering would be exempted from supplying power to the purchasing entity during repowering. The repowering period must not exceed two years from the commencement of the repowering.

The DISCOM will neither have any right over the additional power

generated nor will it be obligated to purchase the additional power generated after repowering.

When captive or third-party sale wind power projects are being repowered, their consumers must be allowed to purchase power from the grid. The SNA or CNA may coordinate with DISCOMs to temporarily facilitate such load.

Incentives

For repowering projects, the Indian Renewable Energy Development Agency (IREDA) will provide an additional interest rate rebate of 0.25% over the interest rate available to new wind projects financed by the agency.

The Wind Renewable Purchase Obligation (RPO) compliance of the state where the repowering project is situated will be exempted for the remaining period until the commissioning of the repowered project. An enhanced RPO multiplier will be provided to the repowered project for the remaining period of PPA.

In July, the Ministry of Power issued a policy mandating wind RPO to boost wind installations and reduce the cost of power generated from wind projects.

States will have to meet 0.81% of their energy demand from wind power in FY 2022-23. By 2020-30, the requirement will be 6.94%.

Wind Repowering Committee

Within one month of the announcement of this policy, MNRE will appoint a Wind Repowering Committee (WRC) to help implement the repowering policy. The joint secretary of wind, MNRE, will chair the WRC. Other members will include representatives of IREDA, Solar Energy Corporation of India, Central Transmission Utility, SNAs, and three independent experts from the wind sector. A representative from the National Institute for Wind Energy will be the member secretary.

India installed 878 MW of wind capacity in the third quarter (Q3) of 2022, a 129% year-over-year increase compared to 384 MW installed in the same period last year. Installations grew over 104% quarter-over-quarter compared to Q2 2022. The significant rise in installations during the quarter was primarily due to the commissioning of projects that were pending.

Solar Power Generation in 9M Up 36%

By : Rakesh Ranjan Parashar

ndia generated around 70.24 billion units (BU) of solar power in the first nine months (9M) of the calendar year (CY) 2022, a 36% increase compared to 51.67 BU during the same period last year.

Solar generation has been on an upward trend since 9M 2018 when it hit 26.45 BU. The increase in overall solar power generation is attributed to the new capacity additions during the first nine months of the year.

In Q3 2022, solar generation stood at 22.61 BU, a decrease of 11% compared to 25.4 BU generated in the previous quarter. However, solar generation increased by 41% compared to 16.03 BU in Q3 2021.

In Q2 2022, the country generated approximately 25.4 BU of solar power. India’s installed renewable energy capacity, including large hydro projects, stood at 163.7 GW, accounting for a 40.3% share of the overall power capacity mix at the end of Q3 2022, according to data from the Central Electricity Authority, Ministry of New and Renewable Energy, and Mercom’s India Solar Project Tracker.

Among renewables, solar continued to dominate, with 14.7% of the total installed power capacity and 36.4% of the renewable capacity. Solar made up 35.4% of the renewable capacity in the previous quarter.

Also, India added over 50 GW of utility-scale solar capacity as of August 2022, just 9.7 GW shy of meeting the government-set target of installing 60 GW by 2022. In 2015, the government announced an ambitious target to increase renewable energy installations to 175 GW by 2022, including 100 GW of solar power.

The solar power generation in India during 9M 2022 continued its upward trend, given the increase in the number of capacity additions during the period

India Installs a Record

10 GW of Solar in 9M 2022

The solar power installed capacity saw a considerable increase during the period, given the rise in utility-scale installations, heading towards its best year so far

By : Arjun Joshi

ndia installed a record 10 GW of new solar capacity during the first nine months (9M) of 2022, an increase of 35% year-over-year (YoY), according to Mercom India Research’s newly released Q3 2022 India Solar Market Update report.

Utility-scale installations totaled 9 GW, a 45% YoY increase.

“With over 10 GW of solar added in the first three quarters of 2022, the Indian solar market will surpass last year’s installations and is headed towards its best year. However, the domestic supply and demand mismatch could hold the sector back in the short

term. Until there is a clear resolution in Rajasthan, delays will continue to impede large-scale projects,” said Raj Prabhu, CEO of Mercom Capital Group.

In 9M 2022, India added over 12 GW of total power capacity, with 76% of the new capacity coming from solar power, according to the report.

India’s cumulative installed solar capacity now stands at 60 GW. The country has a utility-scale project pipeline of over 58 GW. Nearly 46 GW of tendered projects awaits auction.

Rajasthan’s cumulative large-scale solar photovoltaic installations have crossed the 14 GW mark as of September 2022, and the state accounted for over

27% of the installations in the country. The report noted that, due to the uncertainty of projects impacted by environmental concerns surrounding the Great Indian Bustard (GIB) region, 4.8 GW of solar projects still await clearance from the Technical Expert Committee. The committee also determined that underground transmission lines of 66 kV and above voltage levels for evacuation of bulk power are not technically feasible. However, underground powerlines of 33 kV and below are feasible, adding ambiguity to the situation and pushing the commissioning dates to the following year.

Third quarter FY22

In the third quarter (Q3) 2022, India added 2.7 GW of solar capacity, a 32% quarter-over-quarter decline. On a YoY basis, the report said installations were down 6.6%.

Multiple government agencies

announced over 14 GW of tenders in Q3 2022, an increase of 144% YoY and 56% QoQ.

The average system cost of large-scale solar projects during Q3 2022 was up 0.4% QoQ. The average system cost was up by 7.5% YoY. Large-scale solar system

costs have now risen nine quarters in a row, mirroring the rise in the average selling price of modules.

Key Highlights from Mercom India Research’s Q3 2022 India Solar Market Update:

• In 9M 2022, India added over 10 GW of solar capacity, a 35% increase compared to 7.4 GW installed in 9M 2021

• In Q3 2022, Large-scale solar accounted for 88% of the quarter’s installations, and rooftop solar for the remaining 12%.

• India’s cumulative installed solar capacity now stands at 60 GW

• Solar accounted for 76% of new power capacity added during the quarter

• In Q3 2022, Rajasthan and Maharashtra were the top states for solar installations

• The utilit y-scale project pipeline is around 58 GW, while projects tendered and awaiting auction are approximately 46 GW

Mercom’s India Solar Q3 2022 report is 141 pages and covers all facets of India’s solar market. For the complete report, visit: https://mercomindia.com/ product/q3-2022-india-solar-marketupdate.

Eco-Friendly Method to Recycle Wind Turbines

By : Gautamee Hazarika

esearchers at the Indian Institute of Technology Mandi have claimed to have successfully used microwaves to recycle polymer composites from old wind turbine blades, using a rapid, sustainable, and comparatively eco-friendly method.

The blades of wind turbines are made of polymer composites, typically polymer systems in which fibers such as carbon and glass are incorporated for strength.

The team has developed a sustainable microwave-assisted chemical recycling (MACR) process to recycle glass fiber-reinforced polymer (GFRP) composite waste. They used microwaves to aid the chemical degradation of GFRP composites with hydrogen peroxide and acetic acid.

Both hydrogen peroxide and acetic acid being eco-friendly chemicals, make the process particularly distinctive.

The researchers identified that

their method’s decomposition rate of epoxy was 97.2% with recovery of the glass fibers. The recovered fibers retained nearly 99% of the strength and more than 90% of other mechanical properties than the virgin fibers.

“The recycling method that we have developed can lead to a profound shift in recycling technologies, which can help the country move towards a circular economy for wind turbine blades,” Venkata Krishnan, Associate Professor, School of Chemical Sciences, IIT Mandi, said.

India currently is the fourth largest installer of wind energy systems, with a total installed wind power capacity of 40.8 GW at the end of Q2 2022. However, India’s wind potential remains largely untapped.

The National Institute of Wind Energy’s (NIWE) recent resource assessment indicates a gross wind power potential of 302 GW in the country at a 100-meter hub height and

695.50 GW at 120 meters above ground level.

As India faces challenges with repowering old wind projects, recycling could be considered a promising option.

When turbines can no longer be used, the de-commissioned structures of these blades, composed of glass fibers, are demolished, landfilled, or incinerated. These methods of disposal add to both environmental pollution as well as cost. It almost nullifies wind energy’s environmental benefits. Moreover, the restrictions on landfill disposal and fluctuating raw material costs could increase the costs of these composites used in wind turbine blades.

According to a report, ‘Capturing Green Recovery Opportunities from Wind Power in Developing Economies,’ published by the Global Wind Energy Council (GWEC), the wind energy sector could bring in $18 billion gross value to India’s economy.

Researchers have developed a sustainable microwaveassisted chemical recycling process with hydrogen peroxide and acetic acid, ensuring the recovered glass fibers retained 99% of their strength

Who is Funding Small Scale Solar Manufacturers?

As the domestic solar manufacturing sector continues to expand, most small-scale manufacturers are scrambling for funds to set up units and close the increasing demand and supply gap

By : Rakesh Ranjan Parashar

odule manufacturers are scrambling to add capacity and upgrade technology after the government effectively barred imports. While large and established companies say capital is available in the market for expansion, funds have not been easy to come by for smaller companies that are looking to tap into domestic demand.

Domestic manufacturing capacity and corresponding demand are heavily mismatched, according to Mercom’s Q2 2022 India Solar Market Update.

This means developers are looking to place large orders, emphasizing highly efficient modules made with the latest technology. Smaller firms are unable to

measure up on capacity and technology.

Recently, the Ministry of New and Renewable Energy (MNRE) issued an updated list of models and module manufacturers under the Approved List of Models and Manufacturers (ALMM) order. There are now 67 module manufacturers with 20 GW of module capacity enlisted under ALMM.

“Medium and small manufacturers are not finding it easy to raise money. But in a positive development, global funding agencies are showing interest in investing in module manufacturing,” Dhruv Sharma, CEO of Jupiter Solar and President of the Indian Solar Manufacturers Association, said.

He added that as government

policies and their implementation mature, the lenders would be much less apprehensive.

Further, small manufacturers often struggle with the funds needed to run day-to-day operations, which comes in the way of their expansion plans. Harsh Jain from Citizen Solar said, “If you want to go for a 500 MW line, the CAPEX required is around ₹400 million (~$4.91 million)-₹500 million (~$6.13 million), and the working capital will be more than ₹1 billion (~$12.25 million). The ratio is around 1:2.5. The problem with Indian manufacturers is that they don’t have the working capital and incur losses.”

The inherent structural problems faced by small module manufacturers in

expanding capacity are being addressed to some extent by lenders dedicated specifically to manufacturing.

The state-owned lender for small businesses, the Small Industries Development Bank of India (SIDBI), has favorable terms for capacity expansion. Manish Kumar, Deputy General Manager at SIDBI, said, “If the manufacturing unit already exists, we have 100% financing for it with a cap of ₹50 million (~$612,430).”

SIDBI offers full financing if 60% of the machines qualify as energy efficient. “If that is not the case, we have the 80:20 model for green projects, where 80% comes from loans and 20% from promoters. It’s a repo rate-based lending program, where the rates range from 6.5% to 7%. So, funding is not a problem for solar manufacturing projects,” Kumar said.

No dearth of funding for big players

A Gujarat-based manufacturer said developers were still not placing large orders with domestic module-makers as they are hoping for some leeway on Basic Customs Duty (BCD) which may allow them to procure Chinese modules again.

“This is frustrating, but we aren’t overly worried because if developers continue in the wait-and-watch mode, we have the ready option to export,” A Gujarat-based manufacturer said.

The export option makes investing in manufacturers a more secure option for lenders.

“With organizations across the globe growing more conscious about sustainable growth, the solar sector in the country has witnessed a steep rise in interest from global ESG funding agencies in investing in the domain,”

Gautam Mohanka, Managing Director of Gautam Solar, said.

Sharma concurred that manufacturers currently have multiple funding options, including venture capital or private equity players.

“Besides, firms are also exploring non-banking financial companies like Edelweiss for debt funding. You can also borrow from banks and the Indian Renewable Energy Development Agency (IREDA),” he said.

Stakeholders also say there is a need for an upgradation fund to help smaller manufacturers set up new facilities with the latest technology.

IPOs

The option of going public to raise capital is on the table, manufacturers say, but the volatility in the sector –primarily due to the newly introduced domestic policies – does not encourage initial public offering (IPO). However, some companies might go down that road going forward.

“IPOs are a lot more difficult than what is being said. In the next 12-15 months, only a few companies will go public, and over time more companies will come forward. Small and medium enterprise IPO is another thing that manufacturers are looking at closely,” Sharma said.

India has seen record capital being raised from the capital markets in the last year, but solar module manufacturing is not quite there yet.

Jain felt IPOs provide a good alternative to funding by sharing equity with the general public. “But the time is not right for manufacturers to go public. They should wait another year or two to get their companies listed because there is a significant amount of volatility in the market, and if the IPO is not fully subscribed, it becomes a problem.”

Stakeholders are optimistic that government initiatives will facilitate the growth of domestic manufacturing in the country. Still, there is also a genuine concern that smaller players may not benefit yet. Lenders are coming forward to help, but it might take a while before smaller manufacturers are ready to compete with the bigger players and Chinese counterparts in capacity and technology.

Researchers Find New Way to Cool Solar Panels

By : Gautamee Hazarika

Ateam of researchers at the University of Alcala in Spain has claimed that a temperature reduction in solar modules by up to 20ºC can enhance the net system efficiency by about 14%.

The team said it had used a closedcircuit water pumping system, which carries a refrigerated liquid to draw excess heat from the solar panels. The liquid travels 15 meters below the surface, exchanging heat with the cooler soil. At a certain depth, the subsoil maintains a stable temperature of 15ºC throughout the year.

One of the major problems with solar panels is that their efficiency usually does not exceed 20%. The rest of the energy from the sun heats up the modules, lowering the efficiency even further. The research team has proposed a sustainable cooling system based on tapping into the low temperatures of the subsoil to improve the efficiency of photovoltaic solar energy.

The cooling system

A prototype of the system is installed on solar panels at the Polytechnic School of the University of Alcalá, where the researchers analyze its behavior and compare it with identical uncooled panels.

The prototype consists of a refrigerated solar panel that incorporates a heat exchanger inserted into the ground up to a depth of 15 meters. A 10cm hole is made within which a small pump circulates the cooling fluid, which extracts the heat from the solar panel and evacuates it to the subsoil, at a lower temperature, in an efficient, safe, clean and sustainable way.

The small electrical consumption of the pump is supplied by the greater surplus energy produced by the refrigerated panel.

“As the refrigeration system is a closed circuit, the risk of contamination is minimal. In addition, as the heat extracted from the panels is relatively small and the thermal capacity of the floor is very high, its temperature does not increase excessively” the researchers said.

“A similar concept, known as geothermal cooling, has been safely used for decades to weatherize homes and buildings,” they added.

Currently, the team is in contact with several companies interested in the technology. However, before the product can become commercial, more research is needed to explore its full potential and lower its manufacturing, operation, and maintenance costs.

Researchers at the University of Alcala found a new method to cool solar panels using a closed-circuit cooling water pumping system to help boost their efficiencies

No More Concessional Import Duty for Solar Projects

By : Sumit Jha

The government has amended the Project Import Regulations, 1986 to specifically exclude solar power projects from the purview of the law, effectively shutting down a legal route for developers to bypass restrictions on module procurement due to high Basic Customs Duty and Approved List of Models and Manufacturers (ALMM) rule.

The move has effectively nullified applications from several private solar developers who had approached the Customs department seeking approval to import components for upcoming solar projects in their entirety under the regulation, which allowed imports at a concessional customs duty rate for “all power plants and transmission projects.”

The amendment has substituted “all power plants and transmission projects” in the law with “all power plants and transmission projects, other than solar power plants or solar power projects”. The changes will come into effect from October 20.

“Applying under the Project Import Regulation was a clever but

legitimate initiative by the developers, but it was clear from the outset that the government will amend the law to safeguard its stated goal of promoting indigenization in module manufacturing,” a government official said.

The regulation allows the import of power project components under one tariff heading at a concessional rate of 7.5%. Apart from substantial savings on customs duty, developers gain from the simple process as separate classification, valuation, and assessment of numerous sub-parts are not required.

In the case of many developers, the state governments had recommended them to the customs department. Mercom India has reviewed one such letter written by a state government’s energy department on behalf of a developer.

The letter also laid out other details about the project, including the total value of the goods to be imported. As required by the Project Import Regulations, developers are also required to furnish the list of suppliers abroad and the company in India with

The central government amended the Project Import Regulations, to exclude solar projects from the scope of the law, adding to despair of developers looking to import modules at lower rates

which the import transaction will take place. In this project, the developer was selected as the successful bidder by Solar Energy Corporation of India (SECI).

Separately, two other developers confirmed that they had filed applications with the zonal office of the customs department.

“The industry has been exploring ways to protect the return on investment that is now threatened by the imposition of ALMM and BCD of 40% on modules,” an executive at a top developer said. He added that the domestic solar module prices are hovering in the same range as imported Chinese modules, which attract a cumulative duty of close to 45% after the Social Welfare Surcharge is considered.

A government official said that the state government’s involvement in recommending cases is due to the realization that the projects incurring higher costs on account of BCD and the requirement to use modules

from shortlisted manufacturers will eventually be borne by state distribution companies (DISCOMs).

Precedence for Solar Projects

Even before the amendments, the industry was not very hopeful of the government’s approval, given that it has signaled its intention to curb imports with recent policies. But a ruling by a quasi-judicial forum had raised some expectations.

A favorable ruling by Customs Authority for Advanced Rulings in July said that the petitioner was eligible to import solar modules under the Project Import Regulations for its solar power project in Maharashtra. While such rulings apply only to a particular petitioner, a precedent has been set, prompting other developers to follow suit, another developer said.

There was no precedence for the import of components for solar power projects under the concessional import program, but at least two gas-powered

plants – one each in Andhra Pradesh and Tamil Nadu – were allowed imports in the past.

ALMM Mandate

Over the last year, the government has emphasized domestic manufacturing of solar modules by mandating that nearly all projects source modules from the domestic manufacturers enlisted in ALMM.

Additionally, the government announced last year that it would impose a 40% Basic Customs Duty on solar modules to curb imports further and boost indigenous production. The new duty came into effect on April 1 this year.

In July, the government revoked permission granted to solar developers to avail of the benefits of deferred customs duty under the ‘bonded warehouse’ program. The government said solar developers were using the program to stockpile imported modules ahead of BCD coming into force.

Solar’s Share in the Installed Power Capacity Mix Rises

According to the data from CEA, MNRE and Mercom’s Solar Project Tracker, the share of renewable energy share in the overall power mix continues to increase with Solar at its forefront

By : Arjun Joshi

India’s installed renewable energy capacity, including large hydro projects, stood at 163.7 GW, accounting for a 40.3% share of the overall power capacity mix at the end of the third quarter (Q3) of the calendar year (CY) 2022, according to data from the Central Electricity Authority (CEA), Ministry of

New and Renewable Energy (MNRE), and Mercom’s India Solar Project Tracker.

The share of renewable energy increased from the previous quarter when the total installations stood at 159.8 GW, representing 39.7% of the overall power capacity mix.

Among renewables, solar continued

to dominate, with 14.7% of the total installed power capacity and 36.4% of the renewable capacity. Solar made up 35.4% of the renewable capacity in the previous quarter.

With a total installed capacity of nearly 46.9 GW, large hydro made up 11.5% of the total installed power capacity as of September 2022. India had approximately 41.7 GW of wind installations, representing around 10.25% of the total installed power capacity.

India installed 878 MW of wind capacity in Q3 2022, a 129% year-overyear increase compared to 384 MW installed in the same period last year.

Biomass and small hydro account for 2.5% and 1.2% of the cumulative installed power capacity at the end of Q3 2022.

Energy from conventional sources

The total installed energy capacity from conventional power sources stood at approximately 242.9 GW at the end of the September quarter, accounting for 59.7% of the total installations and down from 60.3% in Q2 2022.

The segment covered electricity generated from thermal-based sources, which included 50.2% of coal, gas (6.1%), nuclear (1.7%), lignite (1.6%), and diesel (0.14%).

Coal continued to lead the way with 204 GW of installations at the end of September 2022, the same as Q2 2022. The total market share of coal decreased to 50.2% in Q3 2022.

ISTS Charges Waiver for Green Energy Open Access

By : Gourav Mishra

early a year after the Ministry of Power (MOP) extended the timeline and widened the scope for waiver of the interstate transmission system (ISTS) charges for renewable energy projects, the expected surge in the open access solar market has not materialized because the Central Electricity Regulatory Commission (CERC) has not included the provisions in relevant amendments.

This has caused uncertainty for developers leading to slow progress in some projects. An executive from an open-access developer said, “Developers are in a fix. If they build their projects based on the MoP order, they could suffer if CERC decides not to incorporate them. But if projects are held back until CERC’s regulations are finalized, we might not have enough time to avail 100% ISTS waiver.”

So far, CERC has released a draft amendment to the Sharing of Inter-State Transmission Charges and Losses (First

Amendment) Regulations, 2022, but it does not include the developer-friendly provisions laid out in last November’s MoP order.

said, “Developers are building close to 1 GW of ISTS projects in Rajasthan. They have also received the connectivity for it, but the regulatory uncertainty is holding back the projects from going ahead full steam.”

In stakeholder comments, MoP wrote to CERC earlier this month, “It is observed that the proposed supplementary amendment also is not in line with the provisions regarding waiver of transmission charges as per aforesaid MoP orders.” The letter noted that the ministry had written to CERC in August as well, urging it to include the provisions of its order in the regulations.

Emphasizing the scale of uncertainty over projects, another industry source

The ISTS charges waiver offers significant cost benefits to open-access consumers. A commercial and industrial (C&I) unit stands to save around ₹0.50 (~$0.006)/kWh in ISTS charges when procuring renewable power. For a C&I consumer with a 50 MW requirement, the ISTS charges could be over ₹70 million in a year, assuming the unit runs for 8 hours a day for 365 days.

Power Ministry’s Order on ISTS Waiver

MoP’s order last year encouraged capacity addition through ISTS open access projects by bringing in private investment.

The ISTS charges waiver for Open Access renewable energy projects announced by the MoP is still pending final approval by the CERC, leaving the developers uncertain about setting up new projects

A C&I unit stands to save around ₹0.50/ kWh in ISTS charges when procuring renewables

The ministry extended the commissioning date for solar and wind energy projects by two years to June 30, 2025, as an eligibility criterion to

avail of ISTS charges waiver for 25 years. Further, pumped hydro storage projects and battery energy storage systems (BESS), along with solar and wind

energy, were also included in the waiver.

While the earlier ISTS charges waiver was applicable only for DISCOMs procuring power through competitive bidding, the ministry’s order extended it for captive use, power exchanges, and bilateral agreements.

01-Jul-2025 to 30-Jun-2026

01-Jul-2026

01-Jul-2027

From 01-Jul-2028

Source: Ministry of Power Mercom India Research

The ISTS charge waiver is contingent on the commissioning time and progressively reduces every year. Projects commissioned by June 30, 2025, can avail of a 100% waiver on the ISTS charges. From then on, the extent of waiver declines progressively, as illustrated in the chart on the left.

Boost to ISTS-connected Open Access

The ISTS charges waiver allows C&I consumers another power procurement option on the table. For instance, many

consumers based in Industrialized states with expensive land, like Haryana and Maharashtra, would prefer third-party solar open access from projects in Rajasthan or Gujarat. But ISTS charges make it prohibitive for them.

The current model of solar open access is almost entirely limited to captive/group captive or third-party projects developed in the same state where the C&I consumers are based.

“Currently, Delhi Metro is the only C&I consumer for inter-state open access as it buys power from the solar park in Rewa in Madhya Pradesh,” a source said. However, developers say that many consumers, especially those with large energy requirements, are looking at the ISTS open access option.

The open access arrangement saves

C&I consumers from high distribution companies (DISCOM) charges, especially the cross-subsidy component. The intra-state model could be restrictive due to the scarcity of land or investment required for building captive units.

Consumer interest in ISTS open access projects is reflected in the recent announcement by Amazon, which roped in three developers for 420 MW solar projects in Rajasthan.

Industry sources said that apart from resolving the prevailing uncertainty, the state governments must reform their ISTS regulations to maximize the open access opportunity. “Very few states have open access projects. And where open access projects are present, the interstate policies are not impactful enough to make any difference to the

business,” another developer added.

Large solar parks that provide power to other state DISCOMs have been India's mainstay of solar capacity addition. The ISTS charges waiver for bilateral and captive projects aims to provide a cheaper source of renewable power for industry, promote private investment in the sector and unlock large capacity additions.

“Nothing kills investments like uncertainty. Unfortunately, delays in decision-making fester uncertainty and bog down growth, which has become all too common in the solar industry. The industry needs decisions to be taken swiftly on pending regulations and issues to remove bottlenecks and provide confidence to investors,” said Raj Prabhu, CEO of Mercom Capital Group.

State-Specific Levies Worry Solar Developers

By : Arjun Joshi

adhya Pradesh’s new levy on solar developers selling power to entities other than the state distribution companies (DISCOMs) has confirmed the industry’s fear that more states are formulating laws to squeeze solar projects through state-specific levies.

The state has announced a Harit Urja Vikas (green energy development) fee of ₹0.10 (~$0.0012)/kWh on electricity sold to non-DISCOM consumers. The fee will apply to all renewable energy projects with consumers outside Madhya Pradesh. Additionally, in the case of open access projects (captive/thirdparty), the levy will apply to the entire electricity generated by projects.

Madhya Pradesh’s levy goes a step further in scope than Rajasthan, which imposes a cess between ₹200,000

(~$2,417) and ₹500,000 (~$6,039) per MW annually on developers for supplying power to utilities other than DISCOMs in Rajasthan.

While the Rajasthan levy is effective on DISCOMs of other states, the green energy levy in Madhya Pradesh will also be borne by commercial and industrial (C&I) units located within the state and procuring solar power through open access.

A developer said other states would also start looking at solar projects as an easy and attractive source of revenue. “The Madhya Pradesh fee is akin to the state shooting itself in the foot as its domestic C&I base will suffer due to more expensive solar power.”

Another developer specializing in solar open-access projects said that the ₹0.10 (~$0.0012)/kWh levy will not make

projects unviable but will surely eat into the profits. “Also, the question is not about how it will affect captive or thirdparty projects but about the fairness of imposing such fees. This goes against the growth and development of the renewables sector,” he said.

Over the past few years, C&I consumers across the country have moved towards renewable energy open access, especially solar, as it has provided meaningful savings in energy costs. According to Mercom India Research’s Mercom India Solar Open Access Market Report Q2 2022, Madhya Pradesh has an installed open access solar capacity of 399 MW.

By going green, C&I units have gained more credibility and attracted fresh business while being able to secure loans at reasonable rates. The

additional fee in Madhya Pradesh has narrowed savings from renewable options.

Before the Madhya Pradesh government approved the Harit Urja fees, the Rajasthan Electricity Regulatory Commission had proposed that the state government enact a law mandating that inter-state solar projects provide 10% of the capacity to the state

DISCOMs free of cost. Developers had sounded the alarm bells then, saying that other states would replicate it.

“If you look at the recent ISTS auction of SECI or any other organization, you will see a margin of one paisa sometimes determines the winners. The competition is aggressive, and such a fee is unfair,” said a senior executive of a solar project developer.

Another developer added that the fee would bring an additional burden on top of state transmission utility charges, cross subsidy surcharge, additional surcharge, and wheeling charges, among others.

“These are the charges we know we must pay and are completely willing to do so. However, if states decide to come up with random fees, this will set a bad precedent and impede the growth of renewables,” he added.

The suite of fees imposed by DISCOMs is adding pressure on developers by cutting into their profits and potentially increasing the cost of projects. States must ensure that the growth of renewables is not impeded if they aim to contribute meaningfully to India’s renewable installation goals.

The levies by individual states pose a genuine threat to the renewable ecosystem, but the central government has constitutional limitations in negating such moves. India’s federal structure allows the state governments complete or partial autonomy to make laws in many areas. Legally, the power sector comes under the ‘concurrent list,’ which means that both Center and states can legislate on it.

In the event of a dispute, the Center’s law is supposed to prevail in the Supreme Court. The Central government has traditionally avoided getting into such constitutional battles unless totally unavoidable.

New Thermal Plants to Procure Renewable Energy

The power ministry has proposed thermal plants set up after April 2024 will be required to procure renewable energy either through setting up projects or through virtual PPAs

By : Arjun Joshi

The Ministry of Power (MoP) has proposed that any coalbased thermal generation station coming up after

April 1, 2024, must either install or procure renewable energy equivalent to 25% of the thermal generation capacity.

Stakeholders must submit their comments by November 28, 2022.

The government is looking to

operationalize a provision in the Tariff Policy, 2016, which says that the renewable energy produced by each generator could be sold after bundling it with thermal energy.

It further clarifies that if an obligated entity procures this renewable power, the state electricity regulatory commissions (SERCs) will consider the developer to have met the Renewable Purchase Obligation (RPO).

Under the Generation Flexibility Program, thermal generators can procure power on a long-term basis from grid-connected renewable power projects of a minimum of 5 MW through competitive bidding. They can call for bids to adopt a single-stage bidding process through e-bidding or an e-reverse auction.

Thermal generators can also explore the virtual power purchase agreement (VPPA) option if setting up a greenfield renewable project is not profitable.

VPPAs, which do not involve any physical exchange of electricity, offer unique opportunities to earn renewable attributes for thermal generators.

The proposed policy could ignite the VPPA domain since the Supreme Court cleared most of the regulatory issues last year.

The VPPA can be signed between a renewable developer and the thermal generator for the green credits without disturbing the current power purchase arrangements. These agreements are purely bilateral financial transactions designed to provide thermal

generators with renewable attributes for their conventional power. This provides thermal generators an opportunity to fulfill their mandatory renewable capacity target.

The Ministry also issued revised guidelines for thermal power generation companies to either set up renewable energy generation capacities themselves or through developers by inviting bids and supplying power to consumers under existing power purchase agreements. The new guidelines are expected to replace fossil fuel-based energy with renewables under the existing PPAs.

Subscribe to Mercom’s real-time Regulatory Updates to ensure you don’t miss any critical updates from the renewable industry.

Policy

Punjab’s Renewable Purchase Obligation Trajectory

Punjab’s electricity regulatory commission issued the draft renewable purchase obligation trajectory up to FY30, outlining the wind, hydro, energy storage, and other renewables purchase obligations for the state

By : Arjun Joshi

unjab State Electricity Regulatory Commission (PSERC) has issued the Draft Punjab State Electricity Regulatory Commission (Renewable Purchase Obligation and its compliance) Regulations, 2022, outlining the renewable purchase obligation (RPO) trajectory for the state up to financial year (FY) 2029-30.

In line with the Ministry of Power’s recently issued RPO trajectory, the Commission has issued the purchase obligations for Wind, Hydro, Energy Storage, and other renewable energy sources.

The table below shows the financial year-wise breakdown for various renewable energy purchase obligations.

Per the draft regulations, the Wind RPO must be met from energy produced from wind power projects commissioned after March 31, 2022. Wind energy consumed must be over and above 7% from wind projects commissioned until March 31, 2022.

Hydro Power Obligation (HPO) must be met by energy produced, including free power being provided to the state from hydropower projects, including pumped hydro storage projects and small hydropower projects commissioned after March 8, 2019.

Other RPO may be met by energy produced from any renewable power projects except wind and hydropower

projects. From financial year (FY) 2022-23 onwards, the energy, including free power being provided to the state from all hydropower projects commissioned till March 8, 2019, will be considered part of RPO under the category of other RPO.

The Energy Storage Obligation (ESO) must be met from solar or wind energy and storage projects and will be treated as fulfilled only when at least 85% of the energy stored in the energy storage system annually is procured from renewable energy sources.

Any shortfall remaining in achieving other RPO categories in a particular year can be met with the excess energy consumed from wind projects commissioned after March 31, 2022, beyond the wind RPO for that year. It can also be met through excess energy consumed from eligible hydropower projects commissioned after March 8, 2019, beyond the HPO that year.

Further, any shortfall in achieving wind RPO in a particular year can be met with excess energy consumed from hydropower, which is over HPO for that year and vice versa.

Punjab Energy Development Agency (PEDA) is the recommended state agency for accreditation of eligible entities for grant of certificates and to undertake functions under these regulations.

The state agency must devise an appropriate protocol for collecting and

verifying information from various sources such as renewable generating companies, distribution companies, state load despatch centers, or any other agency to compute, reconcile and monitor RPO compliance. The state agency must publish monthly statements on a cumulative basis of RPO compliance by different entities on its website and serve notices to the defaulting obligated entities that have not fulfilled the mandated RPO and have not deposited the penalty.

It must also submit quarterly and annual reports to PSERC by June 30 of the following year regarding the compliance of RPO by entities for the previous year.

An obligated entity failing to fulfill its RPO during any year will be liable to deposit an amount as a penalty within 30 days of the end of the year.

The amount will be equivalent to the product of shortfall in RPO compliance and the maximum clearance price of the certificates discovered in the power exchange during the said year. The amount must be remitted into a separate account to be created and maintained by the state agency.

The amount the state agency receives must be transferred to the state transmission utility every quarter to be utilized to develop transmission infrastructure to evacuate or integrate renewable energy as approved by the Commission.

Uniform Solar Tariff to Expedite PPAs

By : Sumit Jha

The proposed system of uniform solar tariff might face regulatory approval hurdles at state levels as it attempts to encourage reluctant DISCOMs to sign power purchase agreements with flat rates

The proposed system for a ‘Uniform Solar Tariff’ under a central pool (ISTSconnected projects) is aimed at persuading reluctant state-owned power distribution companies to sign power purchase agreements with the intermediaries like Solar Energy Corporation of India (SECI) and NTPC Vidyut Vitran Nigam Limited (NVVN).

The stakeholders’ comments on the draft rules were closed on September 21, and the ministry is said to be close to finalizing it. While it’s expected to be a win-win policy for all stakeholders, sources in the government said that some states might object to its implementation.

Although intermediaries have

attempted to pool expensive solar bids with power from lower tariff projects earlier, also, it hasn’t been entirely successful because of regulatory hurdles in the absence of defined rules. The current rules in the works will solve that problem, sources said.

A flat rate for solar power for all state DISCOMs is expected to encourage states to sign power purchase

agreements (PPAs). States often delay entering into PPAs or force developers to renegotiate the rates because discovered tariffs are either higher than their previous PPAs or other states have discovered lower tariffs.

“DISCOM managements are very reluctant to give the go-ahead for PPAs with higher tariffs than earlier agreements. They feel that it would be hard to justify such PPAs to the finance departments of their respective states, and hence they often delay it interminably,” a government official closely associated with ongoing discussions on the proposed pooling mechanism said.

He added that when all states can avail power at the same rate, DISCOMs

Stranded solar capacity due to delay in PPAs has been a concern area for the sector

wouldn’t have to make a case for procuring power at a higher tariff.

However, industry experts said that the mechanism might fix one leak in the system but could face a new problem unless all states are convinced of the benefits of a uniform tariff mechanism.

Stranded solar capacity due to delay in PPAs has been a concern area for the sector as it renders projects unviable for developers. Further, the states have often failed to meet their Renewable Purchase Obligations (RPOs) because of such delays.

“The developers have made cost assumptions considering commissioning within 2-3 years, and delays longer than that pose unknown risks to the projects,” Rahul Tyagi, Associate Director, Amp Energy India, said.

Developers await implementation

On the other end of the spectrum, developers say that the system seems favorable to them, and they would welcome it if it were implemented.

An industry source said that at least

10 GW of solar capacity is currently languishing without PPAs, and the number was higher at the beginning of the year.

“Delay in signing PPAs and commissioning timeline is already putting these projects under pressure. The uniform tariff mechanism is an initiative to address the challenges faced in reverse bidding. If it can address the challenges, then yes, it will be a good initiative for the overall development of the sector,” Tyagi said.

Uniform Tariff method

The idea was proposed in the Draft Electricity Amendment Rules, 2022, released in August. It said that a ‘Uniform RE Tariff’ for the central pool will be implemented for solar, wind, hydro, small hydro, and power from any other renewable energy source.

It applies to all the power projects for which the central agencies invite bids. The competitive bidding process under reverse auction will remain intact, and the developers will continue to get the bid-discovered tariffs.

However, the DISCOMs signing PPAs will pay for the uniform tariff decided in place of the tariff discovered in the bidding.

A central agency, probably SECI, will manage the central pool, which would include its current function of signing back-to-back PPAs along with settling payments to developers and between DISCOMs. It will also devise a formula to calculate the weighted average tariff of bids conducted in the past few years, which will be the new tariff payable by DISCOMs.

For instance, if DISCOM ‘A’ and DISCOM ‘B’ are currently paying ₹2 ($0.024)/kWh and ₹3 ($0.036)/ kWh, respectively, to the developers for the same amount of power, then the weighted average tariff is ₹2.5 ($0.03)/kWh. The uniform tariff system would mean that ‘A’ will now pay ₹0.50($0.006)/kWh higher, and ‘B’ would pay less by the same amount. This ensures that the national tariff pool remains constant, and developers continue to get the same amount/kWh as before.

The National Bioenergy Program

By : Rakesh Ranjan Parashar

he Ministry of New and Renewable Energy (MNRE) has notified the National Bioenergy Program, valid from FY 2021-22 to FY 2025-26.

The program has been recommended for implementation in two phases. A budget outlay of ₹8.58 billion (~$104.66 million) has been approved for Phase-I.

Out of the total budget, ₹6 billion (~$73.18 million) has been approved for the waste-to-energy program, ₹1.58 billion (~$19.27 million) for the biomass program, and 1 billion (~$12.19 million) for the biogas program.

The National Bioenergy Program will comprise the following:

Biomass Program to support the use of pellets and briquettes in power generation and non-bagasse-based power generation projects

Waste-to-Energy Program (Program on energy from urban, industrial, and agricultural waste and residue) to support large biogas, bio-CNG, and power plants (excluding municipal solid waste)

Biogas Program to support small and medium-sized biogas projects in rural areas

The broader objectives of the program are to reduce stubble burning by utilizing surplus agricultural residue, provide an additional source of income to farmers through the sale of surplus agro residue, enable better

environmental practices, and reduce pollution.

Biomass Program

CFA funding pattern

The central financial assistance (CFA) for briquette and pellet manufacturing projects has been set as ₹900,000 (~$10.978) per metric ton/ hour manufacturing capacity with a maximum CFA of ₹4.5 million (~$54,891) per project.

per project as an incentive or service charge towards implementation progress, performance inspection, and verification of generation record, and post-installation monitoring of biomass (non-bagasse) cogeneration projects.

The proposals for setting up briquette, pellet manufacturing plants, and biomass (non-bagasse) cogeneration projects will only be considered under this program. Bagasse-based cogeneration projects are not covered under this program.

Commissioning timeline

The time for commissioning the projects will be 12 months for briquette and pellet manufacturing projects and 24 months for biomass (non-bagasse) cogeneration projects.

Waste-to-Energy Program

For biomass (non-bagasse) cogeneration projects, the CFA has been set as ₹4 million (~$48,792)/MW (on installed capacity) with a maximum CFA of ₹50 million (~$609,900) per project.

The performance inspection agency will be provided a service charge of ₹25,000 (~$305) per metric ton per hour, with a maximum ₹100,000 (~$1,225) per project towards monitoring project progress.

The inspection agency will be provided ₹100,000 (~$1,219)/MW, with a maximum of ₹500,000 (~$6,099)

CFA funding pattern

For biogas projects, the CFA has been set as ₹2.5 million (~$30,625) per 12,000 cubic meters/day, with a maximum of ₹50 million (~$612,500)/project.

BioCNG projects, enriched biogas projects, and compressed biogas projects: The CFA will be ₹40 million (~$490,000) per 4,800 kg/day for bio-CNG generation from new biogas projects, ₹30 million (~$367,500) per 4,800 kg/day for bio-CNG generation from existing biogas projects, and the maximum CFA for both the cases has

been set as ₹100 million (~$1.23 million).

Power based on biogas: The CFA will be ₹7.5 million (~$91,875)/MW for power generation from new biogas projects and ₹5 million (~$61,250)/ MW for existing biogas projects. The maximum CFA for both cases will be ₹50 million (~$612,500) per project.

Power based on bio and agroindustrial waste: The CFA has been set as ₹4 million (~$49,000)/MW, and the maximum CFA has been set as ₹50 million (~$612,500)/project.

Biomass gasifiers for electricity and thermal applications: The CFA will be ₹2,500 (~$30.625)/kW with dual fuel engines for electrical applications and ₹15,000 (~$183.75)/kW with 100% gas engines for electrical applications. The CFA will be ₹200,000 (~$2,450)/300 kW for thermal applications.

Commissioning timeline

The time for commissioning has been set as 24 months for waste-to-energy projects and 12 months for biomass gasifiers from the date of approval.

Biogas Program

CFA funding pattern

For northeastern states, the CFA will be ₹17,000 (~$208.25) for biogas projects producing one cubic meter of biogas per day, ₹22,000 (~$269.5) for two cubic meters to four cubic meters of biogas per day, ₹29,250 (~$358.31) for six cubic meters of biogas per day, ₹34,500 (~$422.63) for eight cubic meters to ten cubic meters of biogas per day, ₹63,250 (~$774.81) for 15 cubic meters of biogas per day, and ₹70,400 (~$862) for 20 cubic meters to 25 cubic meters of biogas per day.

Medium-sized biogas projects

The CFA for biogas projects of size above 25 cubic meters to 2,500 cubic meters of biogas generation per day are as mentioned in the table on page 60.

Commissioning timeline

For small biogas projects (1 cubic meter to 25 cubic meters), the installation work of the biogas plants should start immediately after the allocation of annual targets. The deadline for the completion of the work will be the end of the particular financial year unless MNRE has approved prior approval for an extension.

Medium-sized biogas projects (above 25 cubic meters to 2,500 cubic meters) will have to be commissioned within 12 months and, in any case, not more than 24 months from the project’s approval.

Industry News and Policy Briefs

Indian wind turbine maker Suzlon announced raising ₹12 billion (~$145.80 million) through a rights issue of 2.4 billion partly paid-up equity shares. The issue was oversubscribed 1.8 times The equity shares with a face value of ₹2 (~$0.024) were priced at ₹5 (~$0.060), comprising a premium of ₹3 (~$0.036) for every 21 paid-up equity shares held by the eligible equity shareholders. The company said the issue resulted in a subscription of 4.35 billion shares.

Electric Vehicle (EV) financing platform for individuals Revfin closed a Series A funding round of $10 million in a combination of equity and debt. The funding round was led by Green Frontier Capital, a venture capital fund focusing specifically on climate investments, with participation from existing investors. Revfin intends to use the funds to expand its geographical footprint across 25 states and capture about 10% national market share of financed electric three-wheelers.

SJVN Green Energy, a whollyowned subsidiary of SJVN, signed a memorandum of understanding with the Assam Power Distribution Company to invest ₹60 billion ($728.32 million) for developing 1,000 MW of floating solar projects in the state. The projects are expected to generate 2,192 million units (MU) in the first year after commissioning and scale up to 50,425 MU of cumulative energy over the next 25 years.

Indian solar module manufacturer Waaree Energies raised ₹10 billion (~$122.63 million) from various highnet-worth individuals and private offices. The proceeds are expected to help expand Waaree’s manufacturing facility in India from 5 GW to 9 GW for solar modules. A capacity of 4 GW is expected to be operational by January 2023. Waaree also has plans for backward integration in manufacturing solar cells with a capacity of 5.4 GW.

Chhatrapati Shivaji Maharaj International Airport in Mumbai announced that it has completely switched to green energy sources for power consumption needs, making it one of India’s 100% sustainable airports. It attained the landmark 100% utilization of renewable energy sources in August 2022. Around 5% of the airport’s electricity requirement is met through its onsite solar project, while the remaining 95% is from other green energy sources such as hydropower and wind.

Borosil Renewables, an India-based solar glass manufacturer, completed the acquisition of a 86% stake in Interfloat Corporation and Glasmanufaktur Brandenbur (GMB), entities engaged in the solar glass manufacturing business, sales, and distribution, in Europe. The acquisition was conducted through Borosil’s whollyowned subsidiaries overseas, Geosphere Glassworks GmbH and Laxman AG.

With the acquisition, Borosil’s solar glass manufacturing capacity will grow to 750 tons per day (TPD) from 450 TPD, an increase of 66%.

Policy Briefs States

Chandigarh has targeted 70% of all new vehicle registrations in the union territory (UT) to be electric vehicles (EVs) in the next five years. As per the recently issued Chandigarh Electric Vehicle Policy 2022, the UT plans to establish itself as a ‘Model EV City’ by achieving one of the highest penetration of zero-emission vehicles amongst all Indian cities. Chandigarh intends to leverage the city’s cycling track infrastructure to promote electric bicycle usage as a replacement for two and fourwheelers, especially for short trips.

Madhya Pradesh intends to invest ₹150 billion (~$1.82 billion) by 2024 and ₹500 billion (~$6.06 billion) by 2027 for renewable energy generation. The Madhya Pradesh Renewable Energy Policy 2022 says an investment of ₹40 billion (~$485.62 million) by 2024 and ₹100 billion (~$1.21 billion) by 2027 has been planned in renewable energy equipment manufacturing. The state aims to generate 20% of its electricity through renewable sources by Financial Year (FY) 2024, 30% by FY27, and 50% by FY30.

Uttar Pradesh announced the ‘Uttar Pradesh Electric Vehicle Manufacturing and Mobility Policy 2022.’ Under the policy, the state would provide a 30% base capital subsidy for the first two integrated electric vehicles (EV) and ultra-mega battery projects up to a maximum of ₹10 billion (~$121.43 million). The minimum investment to set up a manufacturing plant must be ₹15 billion (~$182.14 million), and the minimum production capacity must be 1 GWh. The capital investment subsidy will be provided for 20 years in equal annual installments.

Center

The Ministry of New and Renewable Energy clarified that open access and net metering renewable energy projects that have applied for approval before October 1, 2022, will not come under the purview of the Approved List of Models and Manufacturers (ALMM). The Ministry also stated that the ALMM would not be applicable for behind-the-meter solar power projects used for captive consumption by a consumer or group of consumers.

The Ministry of New and Renewable Energy extended Phase II of the ‘GridConnected Rooftop Solar Program’ until March 31, 2026. The program has been extended without any addition to the originally approved outlay of ₹118.14 billion (~$1.66 billion) for both the residential segment (Component A) and distribution companies (Component B).

The Odisha Electricity Regulatory Commission issued the revised draft ‘Deviation, Settlement Mechanism, and Related Matters Regulations, 2022’ to ensure that users of the grid adhere to their schedule of drawal and injection of electricity for the security and stability of the grid. The regulations will apply to sellers and buyers involved in the transactions of electricity using intrastate transmission or distribution systems facilitated through short-term open access, medium-term open access, or long-term access.

The Ministry of New and Renewable Energy issued the ‘Policy for Repowering of the Wind Power Projects, 2022.’ The policy intends to facilitate the optimum utilization of wind turbines below 2 MW whose design life is completed by maximizing their energy yield per square kilometer of the project area by deploying state-of-the-art onshore wind turbine technologies. Once approved, the policy will annul the earlier wind repowering policy issued in 2016.

The Central Electricity Regulatory Commission issued a discussion paper on pricing methodology in the power trading market in the wake of price spikes and unprecedented demand in the last year. The volume of electricity transacted through the power exchanges has increased significantly over the years. Though the overall demand-supply situation in the power sector generally gets reflected in the prices discovered through the power exchanges, in March 2022, an unprecedented demand was observed without the increase in supply. The prices in both the Day-Ahead Market (DAM) and the Real-Time Market (RTM) remained significantly higher for a consistent period, which led to regulatory intervention.

Major Tender and Auction Announcements in October

This is a list of major tenders and auctions from October. A comprehensive list can be found on Mercom’s Tender and Auction Tracker and Alerts. Please contact info@mercomindia.com for more information.

Auctions

Pennar Industries won an order from NTPC Renewable Energy for its proposed 500 MW solar power project at Bhadla in Rajasthan. Pennar Industries had emerged as the lowest bidder in the competitive bidding against the tender invited by NTPC REL

The Rewa Ultra Mega Solar Limited’s tender to develop 300 MW of floating solar projects (Phase II)

at the Omkareshwar reservoir in Madhya Pradesh was oversubscribed by 700 MW.

SJVN emerged as the winner in the Maharashtra State Power Generation Company’s (MSPGCL) auction to set up a 105 MW grid-connected floating solar project at Erai Dam Solar Park in the Chandrapur district of Maharashtra.

Other Tenders

GUVNL released tender to purchase power from 300 MW of grid-connected wind power projects (PhaseIV) with a greenshoe option of an additional 300 MW TP Central Odisha Distribution Company invited bids to install and commission 180 MW of solar power projects for the solarization of 40,000 agricultural pumps in the state.

BHEL announced tender for the supply of 1.046 million mono PERC solar cells.

Rajasthan Urja Vikas Nigam (RUVNL) invited consultants to provide load and renewable energy (wind and solar) generation forecasting and schedule optimizer services.

INKEL, a public-private partnership initiative promoted by the Government of Kerala, invited bids to develop 14 MW of wind power projects at Ozhalapathy and Vadakarapathy in the Palakkad district of Kerala.

Uttar Pradesh Power Corporation (UPPCL) issued Requests for Selection (RfS) to set up five standalone Battery Energy Storage Systems (BESS) of 10 MW/40 MWh each in Uttar Pradesh.

West Bengal Power Development Corporation (WBPDCL) invited bids to select a consultant to conduct pre-feasibility studies to finalize the capacity and prepare a detailed project report (DPR) for a floating solar project

at Bakreswar reservoir in the Birbhum district of West Bengal

NTPC invited bids to set up a 10-temperature programmed desorption methanol synthesis plant at its Vindhyachal facility in Uttar Pradesh based on the design provided by TOYO, a Japanese hydrocarbon and petrochemical engineering company.

Convergence Energy Services issued an EoI to empanel financial institutions to finance electric vehicles (EV) in partnership with state governments.

ANERT invited bids to install and commission 2 MW of grid-connected solar projects at the MILMA dairy in Ernakulam, Kerala.

Hindustan Petroleum Corporation (HPCL) issued tender for the operation, maintenance, and repair of a 1.2 MW solar power project at its Mangalore LPG import facility in Karnataka.

Weavers Service Centre, Chennai, invited EoI to empanel suppliers for solar home lighting systems for weavers in Tamil Nadu under the Hathkargha Samvardhan Sahayata Yojana component of the National Handloom Development Program.

MPUVNL issued RfP to standardize rates for the design, supply, installation, commissioning, and maintenance of solar thermal hybrid systems for five years.

Tenders & Auctions

Rooftop Solar Tenders

Rajasthan Renewable Energy Corporation invited bids for the design, supply, erection, testing, and commissioning of 50 MW of grid-connected rooftop solar projects atop state government buildings in Rajasthan

Madhya Pradesh Urja Vikas Nigam (MPUVNL) announced tender to install and commission 15 MW of grid-connected rooftop solar systems under the renewable energy service company (RESCO) model at various locations in the state.

The Odisha Renewable Energy Development Agency (OREDA) invited a request for proposal (RfP) to develop 9.71 MW of rooftop solar projects on government buildings in Odisha.

Chandigarh Renewable Energy and Science and Technology Promotion Society (CREST) invited bids to empanel engineering, procurement, and construction (EPC) companies, manufacturers, suppliers, and system integrators to develop grid-connected rooftop solar projects of capacities ranging from 1 kW to 500 kW in Chandigarh

Punjab Energy Development Agency (PEDA) invited bids for the installation and commissioning of gridconnected rooftop solar systems with a cumulative capacity of 4.5 MW under the RESCO model at various locations in the state.

The City and Industrial Development Corporation of Maharashtra (CIDCO) released three tenders – one of them to set up 4.18 MW of rooftop solar systems under the gross metering arrangement at various locations on

its properties in Navi Mumbai under the public-private partnership (PPP) model. CIDCO also invited expressions of interest (EoI) from developers to install 3.41 MW of grid-connected rooftop solar systems atop CBD Belapur railway station and its parking lot in Navi Mumbai under the PPP model. CIDCO invited EoI from developers to set up 1.24 MW of grid-connected rooftop solar systems under net metering arrangement atop selected railway station buildings and bridges in Navi Mumbai under the PPP model.

Bharat Heavy Electricals (BHEL) floated two tenders to install and commission rooftop solar projects with a cumulative capacity of 4 MW at two thermal power plants in Uttar Pradesh.

Jharkhand Renewable Energy Development Agency (JREDA) issued tender for rate contractors to install and commission 3 MW of grid-connected rooftop solar systems of various capacities with and without battery packs on government buildings in the state.

The Agency for New and Renewable Energy Research and Technology (ANERT) invited bids from vendors for the design, supply, installation, and commissioning of approximately 1 MW of grid-connected rooftop solar power projects with a battery backup capacity in Kerala

Eastern Coalfields invited bids to design, install, and commission 816 kW of grid-connected rooftop solar systems and provide operation and maintenance (O&M) services for 599 kW of installed systems for five years across West Bengal and Jharkhand.

Tenders & Auctions

Top Large-Scale Solar Tenders

Gujarat Urja Vikas Nigam (GUVNL) invited bids to purchase power from 500 MW of grid-connected solar power projects (Phase XVIII) with a greenshoe option of an additional 500 MW

Maharashtra State Electricity Distribution Company (MSEDCL) issued tender to procure 500 MW of windsolar hybrid power on a long-term basis from gridconnected intrastate projects.

MSEDCL also invited bids to procure 500 MW of power on a long-term basis from 500 MW (Phase IX) of grid-connected intrastate solar power projects.

NLC India released tender to set up a 300 MW grid-connected solar power project at Barsingsar in the Bikaner region of Rajasthan. The successful bidder will

also have to take care of the project’s operation and maintenance (O&M) for three years.

SJVN Green Energy invited bids for the supply of balance of system (BoS) and three years of comprehensive operation and maintenance for 100 MW of grid-connected solar power projects in Punjab

SJVN Green Energy also issued tender to install and commission 70 MW of grid-connected solar power projects in Himachal Pradesh.

NTPC Vidyut Vyapar Nigam (NVVN) invited bids to develop two solar projects of 10.5 MW each on land provided by the Bhopal Municipal Corporation in the Neemuch district of Madhya Pradesh.