Daily News Wrap-Up: Delhi Targets 4.5 GW Solar Capacity by 2027 with New Policy

GUVNL issues tender to procure 500 MW of solar power

March 18, 2024


The Delhi government has announced plans to install 4,500 MW of solar capacity, including 750 MW of rooftop solar within the state and around 3,750 MW of utility-scale solar outside the state by 2027 under the new Solar Energy Policy 2023. The policy, which will be effective for three years, aims to boost solar power generation significantly to meet renewable purchase obligation targets. This policy will apply to any solar energy generating system with a capacity of 1 kWp or more.

The Gujarat Urja Vikas Nigam has invited bids to procure electricity from 500 MW grid-connected solar power projects, excluding energy storage. The tender allows for new projects and those in the development stage or already operational across India. Additionally, there is an option to expand capacity by another 500 MW under the greenshoe provision. The last date for the submission of bids is April 22, 2024. Bids will open on April 25.

Maharashtra State Power Generation Company (MAHAGENCO) has invited bids to set up 502 MW crystalline solar power projects for agriculture feeder solarization under the Mukhyamantri Saur Krushi Vahini program. The scope of work includes design, engineering, procurement, installation, testing, commissioning, and project grid connectivity. It also consists of three years of operation and maintenance under an engineering, procurement, and construction framework across different districts in Maharashtra. The last date for submitting bids is May 10, 2024. Bids will be opened the same day.

The government, in a bid to promote India as a manufacturing destination for electric vehicles (EVs), is offering international manufacturers a reduced customs duty rate of only 15% for five years if they invest at least ₹41.5 billion (~$500 million) to establish manufacturing facilities in the country. This relaxation is subject to certain conditions, such as only EVs with a cost, insurance, and freight value of $35,000 or above are eligible for import under this program. India currently levies a 70% to 100% tax on imported cars based on their value.

The Ministry of Mines has unveiled the third tranche of e-auction for critical and strategic minerals. The auction will grant concessions for seven critical mineral blocks across five states. Prospective bidders can purchase tender documents from the MSTC e-auction platform starting March 20, 2024. The price of the tender document is ₹300,000 (~$3,619.9) plus applicable GST. The deadline for purchasing the tender document is May 9, 2024, while the submission deadline for bids is May 14, 2024.

MAHAGENCO has issued a tender inviting bids for the manufacture and supply of 750 MWp of solar modules for projects being developed under the Mukhyamantri Saur Krushi Vahini Yojana across the state. The program aims to reach 30% feeder solarization by 2025 by developing decentralized solar projects of 2 MW to 10 MW capacity within a five-kilometer radius of agriculture-dominated sub-stations. The last date to submit bids is May 3, 2024. Bids will be opened on the same day.

Ellume Solar, a solar engineering, procurement, and construction company, has received a letter of award from Maharashtra State Power Generation Company to develop 100 MW grid-connected solar power projects in Aurangabad. Ellume won the project by quoting a tariff of ₹2.97 (~$0.036)/ kWh to supply power to agricultural feeders on a public-private partnership model under Mukhyamantri Saur Krishi Vahini Yojna. Ellume Solar must submit the finalized locations to set up the project by March 23, 2024.

The Solar Energy Corporation of India paid solar and wind power producers ₹9.39 billion (~$113.3 million) for the energy purchased in January 2024. Disbursements to solar and wind developers constituted 93.6% of the total payments. The major beneficiaries were Adani Solar Energy Jaisalmer One, Azure Power Forty Three, Adani Hybrid Energy Jaisalmer One, Adani Wind Energy MP One, and Renew Wind Energy (AP2). The nodal agency disbursed a total of ₹12.75 billion (~$153.9 million) during the month.

Solar module maker Canadian Solar reported record 2023 numbers with an 89% surge in net income for the full year, but profits in the fourth quarter (Q4) fell sharply as pricing pressures and lower shipments weighed on margins. Net income attributable to Canadian Solar was $1 million in Q4 2023, down significantly from net income of $78 million last year. The revenues in the quarter fell 14% year-over-year to $1.7 billion from $1.97 billion in the same period last year. The company cited a decline in module average selling prices and lower shipments.