January 15, 2015: Electricity generated from solar and thermal plants are expected to get a blended tariff of Rs 4.5 per unit given by the centre. The cost of solar power stands at Rs 6 to Rs 7 per unit at present, while coal-based power stands at Rs 3.5 to Rs 4.5 per unit. According to latest reports, NTPC Vidyut Vyapar Nigam (NVVN), the trading arm of NTPC, will purchase the solar power and bundle it with unallocated thermal power generated by NTPC. This bundling will be done on a 2:1 basis wherein two megawatts will be solar power one one megawatt will be thermal power.
As per the proposal by Ministry of New and Renewable Energy (MNRE), the interested parties will have to take part in a competitive bidding mechanism and hence submit a fixed levelised tariff bid for 25 years for selling the power generated from these plants to NVVN.
Willing state utilities will be able to buy the bundled power under 25-year power sale agreements at a weighted average tariff of solar and thermal components plus trading margin of seven paise per unit (kWh). The bidding will be state specific and bidders will not be allowed to quote a tariff higher than the Central Electricity Regulatory Commission’s approved applicable tariff.
