With NTPC, NTPC Vidyut Vyapar Nigam Ltd and Solar Energy Corporation of India showing an interest in developing and facilitating large solar power parks in Andhra Pradesh, the State Government is readying a policy that will provide an escalation clause to make investments attractive.
A decision to the effect has been taken by the State and a meeting of developers of solar energy projects and wind energy companies was convened here on Saturday to hold discussions with them.
Ajay Jain, Secretary, Energy, Andhra Pradesh Government, said the State, with the support of the Central Government, is keen to transform AP into a solar power generation hub, providing all the necessary support through a new policy to be announced soon. Encouraging renewable energy, the policy is expected to facilitate the installation of about 5,000 MW of solar power generation and 4,000 MW of wind generation capacity by 2019.
NTPC is set to sign up with the State for a 1,000 MW park, while NVVNL will facilitate 1,000 MW; SECI has agreed to support these initiatives and will set up another 500 MW, for which bids have been invited.
The State is also poised to secure ₹500 crore from the Centre to promote solar energy development. The Government has identified land in Anantapur, Kadapa, Kurnool and Chittoor for solar and wind energy projects, he said.
Referring to the proposed solar policy, he said the accent would be on providing single-window clearance for the projects and including an escalation clause of 3 per cent every year, for 10 years. This is based on feedback from developers and lack of response in the past, when ₹6.50 paise per unit was offered.
K Vijayanand, Chairman and Managing Director of APGenco, said the developers have been asked to come out with proposals for 500 MW, and another 500 MW will be offered for development.
The Government expects to commission 800 MW of solar power by next year, and 1,200 MW in the second year, and 1,500 MW each in the third and fourth years respectively.
Source : http://www.thehindubusinessline.com/news/states/three-entities-to-develop-solar-projects-in-ap/article6326129.ece