Out of the proposed 15 GW solar capacity planned to be completed in 3 Tranches within 5 years, 12 GW has been dropped due to slipping solar tariff
The government of India has dropped the installation of 12 GW solar capacity out of the planned 15 GW through the National Thermal Power Corporation (NTPC) due to falling solar tariffs.
The plan was to install a total of 15 GW solar energy bundled with thermal power supply to states. However, RK Singh, Minister, Power and New & Renewable Energy, stated that installation of 5 GW under Tranche II and 7 GW under Tranche III would be dropped. He also mentioned that 3GW under Tranche-I had been awarded and the capacity of 2.75 GW had already been commissioned. The remaining 0.25 GW capacity is under construction.
Tranche II and III
Singh said that the government had launched the scheme for implementing 15 GW of grid-connected solar PV power plants under National Solar Mission (NSM) within a span of five years from 2014-15 to 2018-19 in 3 tranches with NTPC as the implementing agency.
Under Tranche II, the proposed solar capacity was 5GW during 2015-16 to 2017-18. It was envisaged to implement 7GW through the NTPC under Tranche III during 2016-17 to 2018-19.
Investment required to achieve solar mission
According to the Minister, around Rs 5,11,614 crore investment is required to set up 175 GW of renewable energy capacity by 2022. It includes Rs 3,78,437.10 crore for solar energy, Rs 1,25,068.25 crore for wind energy, Rs 3,178.63 crore for biomass and Rs 4,930.50 crore for small hydro (up to 25 MW).
He informed that a renewable energy capacity of 73.35 GW was installed in the country till October 2018 and to achieve the balance target of 101.65 GW, an investment of about Rs. 5.12 lakh crore was estimated as per average current capital cost.
