AP to add 1,000 Mw solar energy

The Andhra Pradesh government plans to tie up with private solar and wind energy developers to add fresh renewable energy capacities in the state. It also announced plans to raise tariff for biomass-based power to Rs 5.5 per unit from the present Rs 4.

“Chief minister N Kiran Kumar Reddy on Friday cleared the solar and wind power policy guidelines and asked the officials to go ahead for finalisation of power purchase agreements,” the chief minister’s office said following a review meeting on renewable energy with ministers and senior officials.

Under these guidelines, the officials will soon invite bids from private solar power developers for setting up projects worth 1,000 Mw capacity in the first phase. The department will select the developers based on the unit cost and sign power purchase agreements through a tendering process, the release said. These projects will have to be commissioned within six to seven months.

The department has also been asked to enter into power purchase agreements with wind energy players in the light of new tariff likely to announced by the state electricity regulatory commission on Monday.

An additional 100-150 Mw capacity is expected to be added in the biomass category following the raise in tariff announced on Friday.

The state has about 1,149 Mw installed capacity in all forms of renewable energy sources.