India’s biggest coal producer secures first solar PPA

Share

From pv magazine India

Coal India Limited, which accounts for around 80% of the country's domestic coal production, has announced it has signed its first power purchase agreement (PPA) for the sale of solar electricity. The coal producer signed the PPA with Gujarat state utility Gujarat Urja Vikas Nigam Ltd (GUVNL) to sell the power generated by the 100 MW solar plant for INR2.20/kWh (€0.024) for 25 years.

In its maiden venture into solar power generation, Coal India secured the 100 MW project in a 500 MW reverse auction conducted by GUVNL which also saw NTPCSprng Energy, and Tata Power’s TP Saurya allocated generation capacity at the same price.

With a capital investment of INR442 crore (€48.9 million), Coal India will execute the 100 MW project through a solar engineering, procurement, and construction (EPC) contractor. In a back-to-back arrangement, the coal company had already issued the tender to finalize the EPC company. The project will be executed within a year from the date of placement of the work order, Coal India said in a statement.

The fossil fuel business is following counterpart NLC by entering the solar market.

Coal India Ltd (CIL) this month announced two new business units: CIL Solar PV and CIL Navikarniya Urja, with both intended to capitalize on the growth opportunities in solar. CIL Solar PV Limited will manufacture ingots, wafers, cells and modules.

This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.

Popular content

Agrivoltaics can increase grape yield by up to 60%
29 November 2024 French agrivoltaics company Sun'Agri says that two of its facilities increased grape yields by 20% to 60% in 2024, compared to areas without solar pan...