Aeon Renewable Energy to invest Rs 250 cr in solar power in 3 yrs

Aeon Renewable Energy Solution, a newly-launched solar energy firm of Chennai-based Madurai Appu Chain of restaurants, plans to invest Rs 250 crore over the next three years on setting up 25 megawatt (Mw) of solar power generation capacity in Tamil Nadu. The company is planning to establish its presence in the retail solar power generation solutions for domestic and industry for captive use.

The Madurai Appu Restaurant Group, which has been operational for almost 12 years now, has entered the solar energy industry at a time when the potential of the sector has increased with the government announcing the Tamil Nadu Solar Energy Policy 2012, envisaging the generation of around 3,000 Mw from solar energy in three years.

“We are planning to invest Rs 250 crore in three phases in the next three years to develop our presence in rooftop solar energy solutions market and to launch two mega projects with a total capacity of 25 Mw,” said R Chandrasekaran, chairman of Aeon Renewable Energy Solutions Pvt Ltd. The investment would be from the promoters and funding from family, friends and associates, and the company might approach banks for further funds later, he added.

The company has entered into an agreement with China-based solar panel manufacturing firm Yingli Solar for technical support and equipment for South India. It will assemble and install initially in Tamil Nadu.

The company would initially focus on developing domestic household market with rooftop units with 1 kW capacity and would appoint one distributor each across 150 districts in South India to market the product. The unit would produce around 4,000 watts a day which could be directly connected to the grid and can create a back up for four hours.

Further, the 25 Mw power generation capacity spread over two locations, in Pudukottai and Virudhunagar, in Tamil Nadu, are expected to offer power to the institutional buyers, including colleges and schools and other high tension power users including large scale industries.

It may be noted that the state government, in its solar policy, has asked the high-tension consumers to compulsorily to have six percent of their power consumption from solar energy source through solar purchase obligations.

Plans are to develop 5 Mw from Pudukottai in first phase, 10 Mw in Virudhunagar in second phase and complete 5 Mw each in both the locations in the third phase. It is also looking to set up a solar panel manufacturing unit which would be finalised in 2016.

The company would also start bringing in solar power-based consumer electronic goods to South India.

Sabarish R C, managing director of Aeon Renewable Energy Solution Pvt Ltd. It has also tied up with Anna University for various research activities including nanotech applications in solar power equipments, added the officials.