July 13 (SeeNews) - Sarus Solar, formed by Canadian Solar Inc (NASDAQ:CSIQ) and two other Canada-based firms, plans to spend some INR 65 billion (USD 1.02bn/EUR 920m) to build a 500-MW photovoltaic (PV) power plant in India.
The solar park will be constructed in the state of Maharashtra’s Thane district and will be the first of several 500-MW facilities Sarus intends to build in the Asian nation, the firm’s head of operations for India, Arun Agarwal, told the Press Trust of India (PTI). The second 500-MW project will be in Jharkhand state and has already been approved, Agarwal has added.
At present, Sarus is awaiting government clearance for the Maharashtra project and is working on signing power purchase agreements (PPAs) with local electricity distribution companies, also known as discoms.
To facilitate doing business in India, Sarus has also teamed up with local firm Neelkanth Solar Energy.
Sarus is a joint venture between Canadian Solar, engineering, procurement and construction (EPC) contractor Guycan Solar and investor Mackie Research Capital Corp. Guycan will be the one to carry out the EPC work on the projects, while Canadian Solar will be supplying the needed panels and technology. The latter will initially import the products until Sarus sets up its own panel factory in India, according to Agarwal. Mackie, in turn, will be financing the schemes entirely.
The first project in India is expected to be completed within 30 months from commissioning of the work, Agarwal has added, as cited by PTI.
(INR 10 = USD 0.158/EUR 0.141)