Modi’s ambitious wind-solar hybrid projects witness a slow beginning

Source: Financial Express, Oct 14, 2019

Wind-solar hybrid projects were seen as one of the options before the Union government to help it meet the ambitious renewable target of 175 MW capacity by 2022. Nearly a year since their launch, however, projects have seen a slow start, with experts attributing the same to the policy guiding auctions. Of the 3,200 MW of wind-solar hybrid tenders launched in the last one year by central and state agencies, only 2,400 MW have materialised and 1,600 MW been allotted, indicating an under-subscription of 34%. The auctions have witnessed participation from a handful of developers like Adani, Softbank, and ReNew Power.

The tepid response to the tenders even led the Solar Energy Corporation of India (SECI) to cut the capacity of one of its tenders from 2,500 MW to 1,200 MW. Two other wind-solar hybrid tenders, one from NTPC for 174 MW in Karnataka and another for 600 MW in Andhra Pradesh, have got cancelled. Read the rest of this entry »

175 GW renewables by December 2022, clarifies government

Source: Financial Express, Oct 10, 2019

The ministry of new and renewable energy (MNRE) clarified on Wednesday that the deadline for installing 175 giga-watt (GW) of renewable energy is December 31, 2022. “At places the date for achieving the stated target is mentioned differently, i.e, by the year 2022 or by FY22,” the clarification stated.

Thanks to the devaluation of the rupee, rising finance costs, government-mandated tariff caps in reverse auctions and cancellation of renewable project tenders, the pace of adding renewable generation capacities already slowed down in FY19, when the country added 8.6 GW against 11.3 GW and 11.8 GW added in FY17 and FY18, respectively. The installed renewable capacity now stands at 81.3 GW. The renewable energy industry is one of the major FDI earners with the sector attracting $4.8 billion foreign capital since FY15. Prime Minister Narendra Modi announced in the United Nations General Assembly that the country aims to have 450 GW renewable energy capacity. However, experts cautioned that recent instances of curtailment of solar and wind power in Andhra Pradesh and Uttar Pradesh can throw a spanner in the country’s ambitious plans.

Policy blues, tariff caps may curtail renewable energy capacity additions: report

Source: The Hindu Business Line, Oct 06, 2019

Due to policy uncertainty and tariff glitches, the country’s installed capacity in renewable energy (RE) could increase by just 40 GW to 104 GW by fiscal 2022 from 64.4 GW in fiscal 2019, ending about 42 per cent short of Government’s target of 175 GW.

The sector has witnessed a material waning of developer interest last fiscal. A sizeable (26 per cent) of 64 GW of projects that were auctioned by the Centre and states received no or lukewarm bids and another 31 per cent faced delays in allocation after being tendered, according to Crisil Research. Read the rest of this entry »

After Andhra Pradesh, it’s Uttar Pradesh’s turn to flout renewable PPAs

Source: Financial Express, Oct 03, 2019

Neither the Centre’s admonitions, nor adverse court rulings seem to be dissuading some state governments from dishonouring the power purchase agreements (PPAs) with renewable power units — a trend that is threatening to put the sunrise sector in jeopardy.

Close on the heels of the Andhra Pradesh government, which virtually called for a downward revision of the tariffs mentioned in the PPAs for 5.2 giga watt of wind and solar power capacity, the Uttar Pradesh government stopped procuring electricity from 650 mega watt of wind power plants effective Tuesday evening.

The UP government’s excuse for the sudden move is the Rs 3.46-per-unit PPA tariff has not been approved by the Central Electricity Regulatory Commission (CERC). But the tariff under PPA for wind units supplying to UP is 7% lower than the average power purchase rate of the state and also much lower than the Rs 4.16-6.02-a-unit rate states paid to wind power plants under the erstwhile feed-in-tariff regime.

Of the 650 MW, about 440 MW are supplied by companies, which quoted the lowest tariff in the maiden reverse auction for wind power held in 2017. The PPAs for these units owned by Renew Power, Mytrah Energy, Sembcorp and Inox Wind were signed with Central government-owned PTC India and Solar Energy Corporation of India (SECI). These firms were supposed to supply to states which wanted renewable energy at low rates.

Read the rest of this entry »

With an eye on Pakistan, India steps up efforts on Chenab hydropower projects

Source: LiveMint.com, Sept 26, 2019

New Delhi: As part of India’s plan to expedite strategically important hydropower projects, Bharatiya Janata Party (BJP) ruled Himachal Pradesh on Wednesday inked agreements entailing an investment of Rs25,000 crore with central public sector units (PSU) for setting up hydropower projects on Chenab river.

The move will provide a fresh push to hydropower in India’s energy mix, and will also help fully utilize its share of water under the Indus Waters Treaty. The treaty sets out a mechanism for cooperation and information exchange between the two countries regarding their use of rivers and was inked after nine years of negotiations, with the World Bank being a signatory.

While state-run NHPC Ltd signed a memorandum of understanding (MoU) with the Himachal Pradesh state government for developing 449 megawatt (MW) Duggar project, India’s largest power generation utility — NTPC Ltd — inked MoUs for Seli (400 MW) and Miyar(120 MW) projects. Read the rest of this entry »

Himachal Pradesh, NTPC sign MoU to build hydel plants worth Rs 5,300 crore

Source: Financial Express, Sept 25, 2019

NTPC has signed a Memorandum of Understanding (MoU) with the Himachal Pradesh government to set up two hydro-power projects in the state, with a cumulative capacity of 520MW, which would require an estimated investment of about Rs 5,300 crore. The move is seen to help the thermal power behemoth reach its goal of achieving 32 GW of renewable energy capacity —25% of its installed base — by 2032.

According to an NTPC statement, the Seli (400 MW) and Miyar (120 MW) projects would be set up at the Chenab basin in the Lahaul and Spiti district. Both these plants would be run-of-the-river projects, which means that no large reservoirs would be built in these rivers and large tracts of land will not be submerged as the power plants are ecologically sustainable. Read the rest of this entry »

NTPC, NLC India and other state-run companies to make green energy parks across the country

Source: :LiveMint.com, Sept 12, 2019

New Delhi: As part of India’s energy security efforts, state-run companies present in the conventional power space such as NTPC Ltd, NLC India Ltd (earlier known as Neyveli Lignite Corp. Ltd) ,and Power Grid Corp. of India Ltd (PGCIL) are being roped in to build massive green energy parks.

Setting up such parks will provide heft to India at the world stage specifically in the view of a rapidly evolving global energy landscape and a fundamental change in the global investment culture. Prime Minister Narendra Modi will be attending the UN Climate Action Summit on 23 September in New York.

These proposed ultra mega renewable energy power parks (UMREPP) of 2,000 megawatts (MW) involving a cost of around $2 billion each, are to be set up in wind and solar resource rich states such as Jammu and Kashmir, Andhra Pradesh, Gujarat, Karnataka, Madhya Pradesh, Maharashtra, Rajasthan, Tamil Nadu and Telangana, according to a government note reviewed by Mint. Read the rest of this entry »