KREDL awards 500 MW of solar capacity

Karnataka Renewable Energy Development Ltd (KREDL) has awarded a total capacity of 500 MW to developers for setting up projects located at the Pavagada solar park. Fortum Corporation and Tata Power Renewable Energy Ltd (TPREL) have each won a capacity of 250 MW by quoting a tariff of Rs 2.85 per kWh.

The LOAs have been issued to the companies on June 28, 2018 and PPAs will be signed within one month from this date. The auction is part of the 650 MW of solar power capacity that was retendered by KREDL in April 2018 to be developed at the Pavagada solar park. The decision for the remaining 150 MW capacity is awaited.

In January 2018, KREDL had tendered solar PV projects worth 1,200 MW of capacity to be developed at Pavagada. However, the agency was able to auction only 550 MW of the total tendered capacity due to poor response from bidders amid various ongoing uncertainties in the solar sector.