Flat solar power tariff drops to all time low of Rs 3.15 per unit

by | posted in: Corporate Updates, Economy, Business Updates, Corporate Affairs | 0

The levelised solar power tariff has dropped to all time low of Rs 3.15 per unit in an auction of a 250 MW project at Kadapa in Andhra Pradesh.

Earlier in February, the lower capital expenditure and cheaper credit had pulled down solar tariff to a new low of Rs 2.97 per unit for the first year in an auction conducted for 750 MW capacity in Rewa Solar Park in Madhya Pradesh.

However, the levelised tariff for Rewa project worked out to be Rs 3.30 per unit.

“The price bid opened and reverse auction carried out for 250 MW (1×250) solar project at Kadapa in AP under developer mode. Solairdirect has won this project with quoted levelised tariff of Rs 3.15/KWh,” a senior official said.

The official said, “Rewa Ultra Mega Solar record of levelised tariff is RS 3.30 which has been broken by NTPC auction today.”

Commenting on this Power Minister Piyush Goyal has tweeted, “Clean affordable power for all: Solar achieves another record low of Rs 3.15/ unit (flat rate) during auction in Kadapa, AP by NTPC.”

In Januray last year, solar power tariff had dropped to a new low, with Finland-based energy firm Fortum Finnsurya Energy quoting Rs 4.34 a unit to bag the mandate to set up a 70-MW solar plant under NTPC’s Bhadla Solar Park tender.

In November 2015, the tariff had touched Rs 4.63 per unit following aggressive bidding by US-based SunEdison, the world’s biggest developer of renewable energy power plants.

Source:  http://www.businesstoday.in/current/economy-politics/solar-power-tariff-low-rs-3.15-per-unit/story/249884.html

India adds record 5,400MW wind power in 2016-17

by | posted in: Corporate Updates, Economy, Business Updates, Corporate Affairs, India & International - Corporate updates | 0
During 2016-17, leading states in wind power capacity addition were Andhra Pradesh, Gujarat and Karnataka.

India added a record 5,400 megawatts (MW) of wind power in 2016-17, exceeding its 4,000MW target.

“This year’s achievement surpassed the previous higher capacity addition of 3,423MW achieved in the previous year,” the ministry of new renewable energy said a statement on Sunday.

Of about 50,018MW of installed renewable power across the country, over 55% is wind power.

In India, which is the biggest greenhouse gas emitter after the US and China, renewable energy currently accounts for about 16% of the total installed capacity of 315,426MW.

During 2016-17, the leading states in the wind power capacity addition were Andhra Pradesh at 2,190MW, followed by Gujarat at 1,275MW and Karnataka at 882MW.

In addition, Madhya Pradesh, Rajasthan, Tamil Nadu, Maharashtra, Telangana and Kerala reported 357MW, 288MW, 262MW, 118MW, 23MW and 8MW wind power capacity addition respectively during the same period.

At the Paris Climate Summit in December, India promised to achieve 175GW of renewable energy capacity by 2022. This includes 60GW from wind power, 100GW from solar power, 10GW from biomass and 5GW from small hydro projects.

It also promised to achieve 40% of its electricity generation capacity from non-fossil fuel based energy resources by 2030.

In the last couple of years, India has not only seen record low tariffs for solar power but wind power too has seen a significant drop in tariffs. In February, solar power tariffs hit a record low of Rs2.97 per kilowatt hour (kWh)and wind power tariff reached Rs3.46 kWh.

Even though wind leads India’s renewable power sector, it has huge growth potential. According to government estimates, the onshore wind power potential alone is about 302GW. But there are several problems plaguing the sector.

For instance, the government has been concerned about squatters blocking good wind potential sites, inordinate delays in signing of power purchase agreements, timely payments and distribution firms shying away from procuring electricity generated from wind energy projects. In January, the ministry held a meeting with the states to sort out these issues.

The ministry has also taken several other policy initiatives, including introducing bidding in the wind energy sector and drafting a wind-solar hybrid policy.

It has also come out with a ‘National Offshore Wind Energy Policy’, aiming to harness wind power along India’s 7,600 km coastline. Preliminary estimates show the Gujarat coastline has the potential to generate around 106,000MW of offshore wind energy and Tamil Nadu about 60,000MW.

Source: http://www.livemint.com/Industry/MR7TsTomt2C9Si1NriNsyM/India-adds-record-5400MW-wind-power-in-201617.html

Tamil Nadu hits top slot in solar power capacity addition as south surges ahead

by | posted in: Corporate Updates, Economy, Business Updates, Corporate Affairs | 0

Tamil Nadu has now reached Number One position in solar power capacity addition.

India’s total installed solar capacity has grown by over 80 per cent in the last 12 months to reach 8,100 MW.

“Out of the 3,600 MW capacity added during this period, 2,700 MW has come from four southern States – with Tamil Nadu alone adding over 1,200 MW on the back of a generous feed-in-tariff of ₹7.01/kWh. Tamil Nadu now ranks number one for commissioned capacity in both wind and solar,” according to Bridge to India, a global solar energy consulting firm.

The State now ranks No.1 for commissioned capacity in both wind and solar.

As of date, Tamil Nadu leads the solar capacity addition table with an installed capacity of 1,368 MW, followed by Rajasthan (1,307 MW), Gujarat (1,112 MW), Andhra Pradesh (961 MW), Telangana (923 MW) and Madhya Pradesh (756 MW).

Presently, those six States account for 80 per cent of the solar capacity added in India. The remaining 23 States including some of the largest power consuming states like Maharashtra, Karnataka and Uttar Pradesh, account for just 20 per cent of the installed capacity.

In the initial phase of solar sector development in India, until 2014, bulk of solar capacity addition came up in Rajasthan, Gujarat and Madhya Pradesh (about 57 per cent). But, the Southern states have taken a decisive lead in the last year, driven primarily by their growing power needs.

According to estimates based on the completed tenders totalling over 14,000 MW, the present trend is likely to continue over the next two years, with the southern States accounting for 60 per cent of this pipeline.

Tamil Nadu has proposed to increase the solar power further to 5,000 MW in a phased manner in the next five years. It plans to add about 1,200 MW of solar units in this fiscal alone, according to a document of state energy department.

The State’s total renewable power capacity is close to 10,000 MW with wind accounting for about 79 per cent of it.

Source: http://www.thehindubusinessline.com/news/national/tamil-nadu-hits-top-slot-in-solar-power-capacity-addition-as-south-surges-ahead/article9018228.ece

Indian solar energy to get $1 bn from World Bank

by | posted in: Corporate Updates, Cross Border Transactions, M&As, Joint Ventures, Economy, Business Updates, Corporate Affairs, India & International - Corporate updates | 0

The World Bank Group signed an agreement with the International Solar Alliance (ISA), consisting of 121 countries, led by India. It has committed to provide $1 billion support to Indian solar energy projects.

The World Bank-supported projects include solar rooftop technology, infrastructure for solar parks, bringing innovative solar and hybrid technologies to market and transmission lines for solar-rich states. The cumulative investment in solar would be the World Bank’s largest financing in this sector for any country.

ISA was launched at the UN Climate Change Conference in Paris at end-November last year, by Prime Minister Narendra Modi and French President François Hollande. Through ISA, India aims to collaborate with global agencies and mobilise around $1 trillion of investment in solar energy by 2030.

The agreement was signed for India by Arun Jaitley and Piyush Goyal, the minister of finance and coal, power & renewable energy, respectively, and World Bank Group President Jim Yong Kim.

“India’s plans to virtually triple the share of renewable energy by 2030 will both transform the country’s energy supply and have far-reaching global implications in the fight against climate change,” said Jim Yong Kim. He hopes this agreement would spur a global movement.

The World Bank Group will develop a road map to mobilise financing for development and deployment of affordable solar energy, and work with other multilateral development banks and financial institutions to develop financing instruments in this regard.

The World Bank also signed an agreement to give close to $625 million for the Grid Connected Rooftop Solar Programme under the National Solar Mission. The project will finance the installation of around 400 megawatt of solar photovoltaic power projects. The development of a $200-million shared infrastructure for the Solar Parks Project under a public-private partnership model, is also under preparation, said the Bank.

Source:   hhttp://www.business-standard.com/article/economy-policy/indian-solar-energy-to-get-1-bn-from-world-bank-116063000413_1.html

PM Modi to launch works in 20 smart cities

by | posted in: Corporate Updates, Economy, Business Updates, Corporate Affairs | 0

Execution of works in 20 smart cities will kick-start from June 25 with Prime Minister Narendra Modi launching 14 projects in Pune, while 69 others will commence in other parts of the country entailing a total cost of Rs 1,770 crore.

Marking the first anniversary of the announcement of the government’s flagship programme, Modi will launch the ‘Smart City Mission’ projects from Pune’s 5,000-capacity Shiv Chatrapati Sports Complex.

“Prime Minister Narendra Modi will launch Smart City projects on June 25, 2016, kick-starting execution of Smart City Plans of 20 cities selected in the first round of ‘Smart City Challenge Competition’,” Urban Development Ministry said in a release.

Apart from the Pune’s projects, as many as 69 such works will be launched on the same day in the other ‘smart cities’ entailing a total investment of about Rs 1,770 crore, it added. These projects are related to solid waste management under Swachh Bharat Mission, water supply projects, sewage treatment plants and development of open and green spaces under Atal Mission for Rejuvenation and Urban Transformation (AMRUT).

It would also include housing projects for urban poor under Pradhan Mantri Awas Yojana and area development and technology based pan-city solutions under Smart Cities Mission, the release said. Modi will also inaugurate ‘Make Your City SMART’ contest, aimed at involving citizens in designing smart cities, with a reward ranging from Rs 10,000 to Rs one lakh for winners.

“Suggestions and designs suggested by the citizens will be duly incorporated by respective smart cities,” the release said. The prime minister will also inaugurate ‘Smart Net Portal’ which enables the cities under different urban missions to share ideas and solutions for various issues during the implementation of various missions. On the occasion, all the first batch of 20 smart cities under Smart City Mission will be linked through video-conferencing. These 20 cities have proposed a total investment of Rs 48,000 crore in area development and pan-city solutions.

Some of the projects to be launched include New Delhi Municipal Council area where mini-sewerage treatment plants, 444 smart classrooms, bio-methanation plant, WiFi, smart LED streetlights, city surveillance and command and control centre would be initiated. The function will be attended by Union Minister M Venkaiah Naidu, Maharashtra Governor C Vidyasagara Rao and Chief Minister Devendra Fadnavis, among others. Besides Maharashtra’s Pune, other cities whose projects would be launched include Ahmedabad (Gujarat), Bhubaneswar (Odisha), Jabalpur (Madhya Pradesh), Jaipur (Rajasthan), Kakinada (Andhra Pradesh), Kochi (Kerala) and Belagavi (Karnataka).

Source: http://indianexpress.com/article/india/india-news-india/pm-modi-to-launch-works-in-20-smart-cities-on-saturday-2871606/

India records 10-year low in public-private investments: World Bank

by | posted in: Corporate Updates, Economy, Business Updates, Corporate Affairs, India & International - Corporate updates | 0

India recorded a 10-year low in investments in public-private sector in the year 2015, adding to contraction that pulled down the global investment to below its five-year average of $124.1 billion, the World Bank has said.

In its latest annual report, the World Bank said global investment in 2015 decreased to $111.6 billion, below the five-year average of $124.1 billion from 2010 to 2014.

“This contraction resulted from lower investments in Brazil, China and India,” the World Bank said on Monday in its latest report on Private Participation in Infrastructure Database.

“India recorded a 10-year low in investments, as only six road projects — usually a rich source of PPI over the past 10 years – reached financial closure,” the World Bank said.

In South Asia, there were 43 deals for a combined total of $5.6 billion that closed in the region, representing 5 per cent of the total investment — a decline of 82 per cent from the five-year average of $30.5 billion.

“Consistent with historical trends, India generated a majority of the projects (36 out of 43); Pakistan had four; Nepal, two; and Bangladesh, one. Notably, 26 of the 36 projects in India, amounting to $2.0 billion, targeted renewable energy, while all of Pakistan’s projects, totalling $749.9 million, solely focussed on renewables,” the Bank said.

Solar energy investments climbed 72 per cent higher than the last five year average, while renewables attracted nearly two-thirds of investments with private participation, it said.

Global private infrastructure investment in 2015 mostly remained steady at $111.6 billion when compared to the previous year, it said.

Among the most notable, commitments in Brazil were only $4.5 billion in 2015 — a sharp decline from $47.2 billion the previous year, reversing a trend of growing investments, it said.

“Investment in China also fell significantly below its 5-, 10-, and 20-year averages, as the average transaction dropped to $63 million,” it said.

By number of projects, however, these three historical heavyweights took the lead, with 131 of the 300 global deals, or 44 per cent of all projects.

Still their combined investment of $11.6 billion only made up 10 per cent of the global total, compared to 54 per cent in 2014, which was also the annual average over the previous four years.

According to the World Bank, global private infrastructure investment in 2015, though on par with the previous year, was 10 per cent lower than the previous five-year average because of dwindling commitments in China, Brazil, and India.

“The data finds that investments in other emerging economies increased rapidly to $99.9 billion, representing a 92 per cent year-over-year increase,” said Clive Harris, Practice Manager, Public-Private Partnerships, World Bank Group.

US firm 8minutenergy to build solar facility in India

by | posted in: Corporate Updates, Cross Border Transactions, M&As, Joint Ventures, India & International - Corporate updates | 0

A US renewable energy company, 8minutenergy Renewables LLC, will set up 4 GW of solar power capacity in India.“8minutenergy Renewables will pursue a 4 GW solar photovoltaic project pipeline in India,” a statement from the White House said. “These utility-scale solar projects are expected to generate over 10,000 jobs in the construction phase in India.”

Founded in 2009 by Martin Hermann and Tom Buttgenbach, the California-based company has 330 MW of operating solar plants. Plants of total capacity of 400 MW are under construction, while another 3,000 MW are in the pipeline. These include an 800 MW solar farm at Mount Signal in California, claimed to be the world’s largest.

Another US company, SunLink Corporation “is partnering with Indian companies to deploy 1.4 GW of solar projects over the next five years,” the statement said. SunLink manufactures solar racking systems, or the frames on which modules are mounted. It also provides performance monitoring solutions.

In the meantime, the US has announced the setting up of a Clean Energy Finance Hub, which “will serve as a coordinating mechanism to focus US Government effort that, in partnership with leading Indian financial institutions, will increase renewable energy investment in India,” the statement said.

Source: http://www.thehindubusinessline.com/companies/us-firm-8minutenergy-to-build-solar-facility-in-india/article8714858.ece