Developers selected for 550 MW of solar projects in Karnataka - report

Three Indian companies have won 550 MW of grid-connected solar projects in a 1,200-MW tender by the Karnataka Renewable Energy Development Ltd (KREDL), Mercom Capital reports.

The state-owned company has issued Letters of Intent (LoIs) to Renew Power Group, Avaada Power Pvt Ltd and Azure Power Global Ltd (NYSE:AZRE), an unnamed KREDL official told the consultancy. The three winners have secured 300 MW, 150 MW and 100 MW of projects, respectively. According to the official, the final list of selected candidates and proposed tariffs is pending government approval and will be announced in a few days.

The capacity, split in 50-MW blocks, will be installed within the Pavagada photovoltaic (PV) complex in Karnataka, with the projects to be implemented under the build-own-operate (BOO) model. The output of the facilities will be sold to state electricity supply companies under 25-year off-take agreements.

KREDL intends to tender again the remaining 650 MW of capacity from the auction, the official told Mercom. The agency failed to auction all of the targeted capacity due to uncertainties in the Indian solar sector such as pending duties on solar equipment, according to the report. The bid submission deadline for the tender, initially set for February 21, was later extended to March 5.

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