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1.5 GW Project In Madhya Pradesh, India, Announces Historic Low Electricity Prices

Oct 08, 2018

India’s Madhya Pradesh Urja Vikas Nigam Limited (MPUVNL) said in an official statement that it has achieved a historic low electricity price – Rs 1.38 per unit ($0.019), the photovoltaic roof system as its RESCO II roof Part of the solar tender will be installed on the roof of the central government building.




So far, Madhya Pradesh has installed about 1.3 GW of solar power capacity, and several other GW-level projects are under development.


Shreekant Deshmukh, supervision engineer of MPUVNL, said that the lowest price of 1.38 rupees per unit is equivalent to one quarter of the current consumer price, but only for the first year. It will then grow at a rate of 3% per year, and prices will roughly double after 25 years.


On the other hand, Rewa Ultra Mega Solar Ltd (RUMSL), a joint venture between MPUVNL and Indian Solar, has also issued a bid for a 1.5 GW solar project. The project will include three separate systems: Agar Solar Park (550MW), Shajapur Solar Park (450MW) and Neemuch Solar Park (500MW). RUMSL will sign a power purchase agreement with the Indian Railway and Railway Energy Management Company (REMCL), which will purchase approximately 23% of the electricity from the project, and the remaining power generation will be acquired by Madhya Pragon Power Management (MPPMCL).


So far, Madhya Pradesh has installed about 1.3 GW of solar power capacity, and several other GW-level projects are under development. The state's cumulative utility scale solar capacity accounts for nearly 6% of the country's total.