AP power utilities have entered into power purchase agreements (PPAs) with solar power developers for 147 Mw and issued letters of intent (LoIs) for another 142 Mw. The move comes after the state government decided to encourage private entrepreneurs to set up an installed capacity of 1,000 Mw in solar power late last year.
This was informed to Ratan P Watal, secretary, Ministry of Natural Resources and Energy at a review meeting. The present installed capacity in the state is about 61.24 Mw.
A statement by the energy department said the Union Secretary complimented the authorities for eliciting a competitive rate of Rs 6.49 per unit payable to the developers. However, a relatively lower purchase price fixed afterwards dampened the excitement.
In addition to this, a separate policy for the industries either for captive use or third party sale had been announced by the state and a set of clarifications were awaited from the state Electricity Regulatory Commission (APERC) to realise about 1,483 Mw of solar power under this policy, it said.