February 12 (Renewables Now) - The government of the Indian state of Andhra Pradesh on Wednesday approved a plan to install 10 GW of solar power capacity in order to meet the state's power needs, the Business Standard reported.
The state will need to invest between INR 350 billion (USD 4.9bn/EUR 4.5bn) and INR 450 billion in the project, the state information and public relations minister Perni Venkataramaiah was quoted as saying. The state nodal agencies will fund 100% of the project, he noted, but did not specify how the funds will be obtained and what the timeline for the project development will be.
The massive project will be developed by a newly formed subsidiary of state-owned utility Andhra Pradesh Power Generation Corporation, called AP Green Energy Corporation.
According to the report, the state government plans to take advantage of the central government's grant provided at a rate of INR 2 million per MW. The project will be located on government land in Donakonda in Prakasham district.
The minister was cited as saying that the Green Energy Corp will sell the power generated by the facility at a rate of INR 3 per kWh to the state utilities. The project is designed to meet the needs of the state's agriculture sector, he noted.
(INR 100.0 = USD 1.402/EUR 1.285)