Hyderabad: The AP government is charting its new solar policy and include an escalation clause to make investments attractive. The move comes after seeing a plethora of interest in developing solar power parks by NTPC, NTPC Vidyut Vyapar Nigam Ltd and Solar Energy Corporation of India.
The state government has decided to improve the attractiveness quotient in its policy for solar energy developers and wind energy companies after a meeting on Saturday.
Developers have been asked to come up with proposals for 500 MW projects. The government plans to commission 800 MW by next year.
Meanwhile, NTPC is set to sign an agreement with the state for a 1,000 MW park.
“We are keen to transform AP as a solar power generation hub by providing all necessary support through a new solar policy that will be announced soon. The policy would provide single window clearance for these projects and also providing an escalation clause of 3 per cent every year for 10 years. This is based on the feedback from developers and lack of response in the past when Rs 6.50 paise per unit was offered,” said Energy Secretary for AP, Ajay Jain. The state plans to facilitate installation of about 5,000 MW of solar power.
generation and 4,000 MW of wind generation capacity by 2019, in order to boost the renewable energy sector. A Rs. 500 crore grant from the centre will also be flowing in to promote solar energy and the state government has already identified land in Ananthapur, Kadapa, Kurnool and Chittoor for solar and wind energy projects.
