SJVN Bags ₹70 Billion Contract to Develop 1.2 GW of Solar Projects
The Punjab State Power Company (PSPCL) has provided a letter of intent to SJVN Green Energy, a fully-owned subsidiary of SJVN, for the development of 1,200 MW of solar power projects.
The business will build 1,000 MW of solar installations everywhere in the nation, with the remaining 200 MW being built in Punjab.
PSPCL will purchase 1,000 MW of solar energy for $2.53 (or $0.031) per kWh from projects everywhere in the nation, with the remaining 200 MW coming from projects in Punjab for $2.75 (or $0.034) per kWh.
The projects will be built, owned, and operated, and it is anticipated that the contract would cost close to 70 billion ($853.51 million) in total.445
In June of last year, PSPCL published the bidding for buying electricity from 1,000 MW of grid-connected solar power plants.
The remaining 200 MW of the 1,000 MW of solar projects that SJVN Green Energy has secured are to be developed in Punjab. In April of last year, a tender for this capacity was announced.
There will shortly be a power purchase agreement (PPA) between PSPCL and SJVN Green Energy.
The projects are anticipated to launch by the end of next year and must be commissioned within 18 months of the PPA’s signature.
A performance guarantee of 1.18 million (about $14,422) per MW of the permitted capacity must be provided by SJVN Green Energy.
The Ministry of New and Renewable Energy’s Authorized List of Models and Manufacturers, which PSPCL has also regulated, lists the solar modules that must be used.
In addition, it is anticipated that the projects will produce 2,997 million units (MU) of energy in their first year and approximately 69,661 MU of energy in total over 25 years. More than 3.4 million tons of carbon emissions will be mitigated by the projects’ commissioning.
By the end of the present decade, the corporation hopes to have 25 GW of generation capacity, more than half of which must originate from renewable sources.
SJVN’s bid to install overhead transmission lines for its 1,000 MW solar power project in Bikaner, Rajasthan, recently received approval from the Ministry of Electricity.
Before this, SJVN had invited bids in order to choose renewable developers for the delivery of 1,500 MW of electricity from interstate transmission system (ISTS)-connected renewable energy projects with energy storage capacities throughout India.