UPNEDA issues draft guidelines for setting up private solar parks in the state

The Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA) has issued the draft guidelines for setting up private solar parks in the state.

As per the draft guidelines, the Uttar Pradesh will offer to purchase 100 per cent power generated from the solar park, through its discom Uttar Pradesh Power Corporation Limited (UPPCL). In addition, the state will allow sale of the total energy generated in such parks to any third party through the open access mode.

Any private player is eligible to develop a solar park either by taking MNRE grant, or by arranging funding through its own resources. The MNRE will provide a grant of up to 30 per cent of project cost or Rs 1.2 million per MW to the developers.

If the solar park is being set up with financial support from MNRE and 100 per cent of the generated power is supplied to UPPCL, then the minimum and maximum capacity of the park will be 50 MW and 200 MW, respectively. In addition, the developer will have 18 months to complete the construction on the solar park.

If the park is being developed with MNRE support, but the power is sold through third-party open access mode, then the solar park developer will be responsible for land acquisition for park development. In addition the solar park cannot have a capacity below 50 MW. The developer will have 18 months to set up the solar park.

If the solar park is developed without MNRE support, the developer will be responsible for land acquisition for park development and the minimum capacity of the park would be 100 MW. In special circumstances, if appropriate land area is unavailable, the developer may be allowed to reduce the capacity at one site to 50 MW, and to set up the remaining 50 MW at a separate location. The developer will also be responsible for the connectivity of the solar park to grid and will have 24 months to complete the project. To gain long-term open access, developers will have to apply to MNRE.

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