Weekly updates- 6-12th August

Policy & Regulation

Uttar Pradesh e-vehicle policy

Key highlights

  • Policy targets INR 40,000 crore in private investment over the next 5 years
  • By 2024, nearly 70% of public transport buses would be electric, while about 10,000 new electric buses would be introduced for public transport
  • State government projects setting up of about 200,000 charging stations in the state
  • Land cost subsidy of 25%, up to Rs 50 lakh subsidy on capital investment (capex) for technology transfers and Rs 25 lakh capex subsidy on charging stations to mega anchor units and ultra-mega battery units
  • 100% rebate on registration of e-vehicles, apart from 25% rebate on road tax.

UPERC has granted one-time relaxation in its rooftop solar PV regulations 2019 and has allowed 59 projects to avail either net metering or gross metering facility

UPERC has granted one-time relaxation and allowed 59 projects or consumers to avail either net metering or gross metering facility. This order will benefit rooftop solar PV projects totalling 10,391 kW.

Government approves sanction of 5,595 electric buses under FAME scheme 

The government has sanctioned 5,595 electric buses in 64 cities for intracity and intercity operations under the second phase of FAME India scheme in order to push for clean mobility in public transportation. 5,095 electric buses sanctioned to 64 cities or state transport corporations for intra-city operation, 400 electric buses for intercity operation and 100 electric buses for last mile connectivity to Delhi Metro Rail Corporation (DMRC).

Tenders

SECI’s solar tender has few takers 

The Solar Energy Corporation of India (SECI) has found few takers for its latest 1,200 MW solar power tender. Only SB Energy, backed by Japanese conglomerate SoftBank, and the Chennai-based GRT Jewellers put in bids, multiple sources said. SB Energy bid for 450MW, while GRT wanted 150 MW. SECI set the ceiling tariff at Rs 2.65 per unit, which developers consider non-viable. Risks, too, have gone up after Andhra Pradesh recently renegotiated wind and solar power purchase agreements.

No bidders for NTPC’s tender for 1,200 MW solar projects 

NTPC’s latest tender for solar projects for 1,200 MW found no bidder, the first total rejection by project developers since the navratna state firm started inviting bids for renewable energy, forcing it to extend the deadline. Reasons for this are tariff ceiling too low, land prices too high, solar irradiation too low

Himachal Pradesh Floats Tender to Install Solar Projects at 312 Schools Across the State

The Himachal Pradesh Energy Development Agency (HIMURJA) has invited bids for the installation of solar projects at 312 middle schools located in 11 districts of Himachal Pradesh. The deadline for the submission of the bids is August 23, 2019.

Maharashtra: Solar power for lift irrigation schemes

The state government has decided to enable development of solar power projects of capacity 2MW to 10MW at 11 kV level and above 10MW at 33 kV level by lift irrigation scheme (LIS) consumers under Mukhyamantri Saur Krushi Vahini Yojana (MSKY) Stage II.  There are 153 high tension (HT) LISs of the water resource department and private cooperative societies in the state having connected load of around 405MW.

Projects

NLC commissions 100 MW solar plant in Tamil Nadu

After the commissioning of a 63 MW capacity in July, NLC India— formerly the Neyveli Lignite Corporation—has commenced commercial operation of a 100 MW solar power plant in Tamil Nadu. The project—located at Maranthai and Pudur Villages in Tirunelveli District—is part of 709 MW solar power projects awarded by state utility Tamil Nadu Generation and Distribution Corporation.

UP govt clears state’s first floating solar power plant on Rihand Dam

The Uttar Pradesh cabinet chaired by Chief Minister Yogi Adityanath has cleared a floating solar power plant of 150 MW on Rihand Dam with an investment of Rs 750 crore. It will be the first water surface floating solar power plant of Uttar Pradesh and biggest in the country. M/s Renew Solar Power Private Limited will produce 100 MW, Shapoorji Pallonji Infrastructure Private limited will generate 50 MW from this project.

Financing

Sterling & Wilson IPO garners only 92% subscription on the last day

Shapoorji Pallonji company Sterling & Wilson Solar’s initial public offering (IPO) managed to garner only 92 per cent subscription on Thursday, the last day of the issue. The qualified institutional buyer (QIB) portion of the issue, however, garnered full subscription. The high networth individual (HNI) portion of the issue was subscribed 89 per cent, while retail investor portion was subscribed 30 per cent.

Suzlon Energy offers to repay $1.2 bn for stressed debt settlement: Report

India’s troubled wind-turbine maker Suzlon Energy Ltd. offered to repay about 85 billion rupees ($1.2 billion) to lenders as part of a bad-debt resolution plan, people with knowledge of the matter said. Creditors led by State Bank of India will have to take a haircut of as much as 44% on Suzlon’s debt if the offer is accepted, the people said, asking not to be named as the information isn’t public.

Other important news

Don’t reduce purchase of green power: High Court 

The Andhra Pradesh High Court ordered the state power transmission firm to refrain from arbitrarily reducing the power it evacuates from renewable projects, giving a breather to developers who have set up more than 7,500 MW of solar and wind energy capacity.

Govt plans import tariffs on green equipment to boost local industry

The surge in imports of solar equipments led the National Democratic Alliance (NDA) government in its previous term to impose a safeguard duty from 30 July 2018 on solar cells and modules imported from China and Malaysia. Going forward, more tariff barriers may be introduced for components such as glass, solar cells and gear boxes. India has come up with tariff and non-tariff barriers and going forward, only Bureau of Indian Standards (BIS) and MNRE approved solar-cell modules will be permitted.

CEA to Maintain Database of Outstanding Dues by DISCOMs to Solar, Wind Developers

In its letter dated August 5, 2019, the CEA has asked renewable generators to provide the details of such dues every month. They have also been asked to submit their contact details so that they can have access to PRAAPTI portal. PRAAPTI stands for Payment Ratification And Analysis in Power Procurement for bringing Transparency in Invoicing of generators. It is an online platform aimed at enhancing transparency and encouraging best practices in power purchase transactions.

Out of 25,000 target, MSEDCL installed 2,150 solar power pumps

MSEDCL has miserably failed to meet the solar farm pump installation target under Mukhyamantri Saur Krishi Yojana (MSKY). The state government had set a target of installing 25,000 solar pumps in 2018-19 and another 50,000 between April and December 2019. However, so far it has installed only 2,150 pumps. A MSEDCL spokesperson said the discom had received 1.94 lakh applications from farmers by July end. “We issued quotations to 93,700 applicants and asked them to select vendors. Of these, 22,800 selected vendors and 2,150 pumps have been installed so far,” he said.

One year after safeguard duty was imposed, results have been disappointing

One year after India imposed an additional import duty on solar cells and modules to stimulate local production and reduce dependence on imports, no new domestic manufacturing unit has been set up.

Only 5-7 players will remain in the renewable energy sector, says Tata Power CEO

In a fast-evolving energy market, Tata Power has an installed gross generation capacity of 8669 MW, which includes an addition of 276 MW of renewable capacity. In a conversation with BusinessLine, Praveer Sinha, who took over as CEO and MD of Tata Power in March 2018, spoke about the company’s EV roadmap, its expectation of a part resolution in its Mundra power plant, the consolidation in the solar power sector and the need for reforms in power distribution.

Is hydropower back in play in India’s energy mix?

With the scrapping of the Article 370 and Article 35A in Jammu and Kashmir by the National Democratic Alliance (NDA) government, industry captains believe that hydropower is back in play in India’s energy mix. Also, Arunachal Pradesh that had awarded a raft of projects to private companies has now approached state run NHPC Ltd to execute them.

Over 80% of mini-grid users in India satisfied with their connections: Report

Over 80 per cent of mini-grid household users in India are satisfied with their connections, despite affordability challenges, according to a report on electricity access and consumer demand by Smart Power India (SPI).

Ladakh to be the next Gujarat for wind energy: MNRE

The Ministry of New and Renewable Energy (MNRE) is eyeing to expand the footprint of wind power generation facilities in the country. Bhanu Pratap Yadav, Joint Secretary at the MNRE said: “Ladakh has immense potential for wind power generation facilities. We are also looking at Andaman and Nicobar, and the North East for expanding the footprint of wind power generation.

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