Govt mulling 2-3 tariff-based auctions for wind projects
16 Oct 2017
With wind power tariff coming down to levels of Rs2.64 per unit in two successive auctions, state-run Solar Energy Corporation of India (SECI), the nodal agency for conducting tariff-based auctions, is planning 2-3 auctions to add around 3 GW of capacity in 2018.
The tariff-based competitive bidding for 1 GW wind projects brought down the tariff to a record low of Rs3.46 per unit in February this year which further dropped to an all time low of Rs2.64 per unit in a similar auction earlier this month.
State-run Solar Energy Corporation of India (SECI) was the nodal agency for conducting these two auctions.
"We will go for 2-3 more such auctions for the wind power projects as there were very encouraging results in bidding this month for 1 GW capacity where tariff dropped to Rs 2.64 per unit," PTI quoted a senior official of the ministry of new and renewable energy energy, said.
The auctions, however, are demand-based and these auctions would be held by this fiscal end or in the first or second half of next fiscal.
"There is a due process for conducting such auctions and these are purely demand based. It will all depend on demand. But we are sure about 2-3 more round of auctions for wind power project," he said.
The ministry had planned auction of 4 GW wind projects during the current fiscal, which is also needed to meet the target of achieving 60 GW of wind generation capacity by 2022.
At present, India has wind power capacity of 32.5 GW. India would have to add around 6 GW to achieve the target of 60 GW by 2022.
Meanwhile solar power tariff had dropped even lower to Rs2.44 per unit in a tariff-driven bidding earlier this year.
India has targeted 175 GW renewable power capacity by 2022 and the competitive wind and solar tariff will be a big boost for its ambitious target.
This, however, is expected to be achieved through need-based capacity addition, and would involve investment of an estimated $100 billion.
India already has an installed renewable power generation capacity of 60 GW and two floating solar projects with the capacity of 10 MW each coming up in Andhra Pradesh and Kerala could take it to 80 MW.
"Two 10 MW floating solar projects, which will be the largest so far in the country, will come up in Andhra Pradesh and Kerala. We are carrying out the design," a PTI report quoting renewable energy expert and head of Arka Renewable Energy College, S P Gon Chaudhury as saying.
"The Andhra Pradesh project is expected to be commissioned in the new year. Location for the Kerala project is yet to be firmed up," he was quoted as saying said.
So far a 100 KW plant is the largest in the floating solar executed by the NTP in Kerala.
