India’s NTPC Launches 750 MW Solar Power Tender

India’s largest power generating company, NTPC Limited, is on an expansive spree to launch solar power tenders under the country’s National Solar Mission. Yet another large-scale solar power tender has been launched by NTPC Limited to set up a solar power park in the southern Indian state of Karnataka. The tender will involve allocation of six solar power projects with 125 MW capacities each.

NTPC has successfully allocated projects in several large-scale solar power parks in the states of Andhra Pradesh, Telangana and most recently, Rajasthan. All these tenders are part of the National Solar Mission.

The last three auctions by NTPC – two in Andhra Pradesh and one in Rajasthan – have brought down solar power tariffs to record low levels. An auction of 500 MW capacity in Andhra Pradesh, results for which were announced in early November 2015, saw SunEdison secure the entire capacity at a historic low tariff of Rs 4.63/kWh (US¢6.91/kWh).

A month later, SB Energy (a three-way joint venture company between SoftBank, Foxconn, and Bharti Enterprises) matched this tariff to secure part of the 350 MW capacities on offer.

Earlier this year, NTPC announced results of yet another tender where 420 MW capacity was on offer. The solar power park is set to come up in the north-western state of Rajasthan. Another foreign project developer pushed the tariff to fresh low of Rs 4.34/kWh (US¢6.5/kWh).

A number of these solar power parks are part of India’s ultra mega solar power programme wherein over 2 dozen solar power projects will be set up across various states. The combined installed capacity of these projects will be around 20 GW. The programme is critical to India’s target to have 100 GW of operational solar power capacity by March 2022.

Original Post: Saurabh Mahapatra 

'US firms keen to participate in India's solar programme'

Several American companies are looking at opportunities in India's renewable energy sector and are keen to participate in the National Solar Mission, US Exim Bank said on Friday.

"We are working with a number of renewable energy companies in the US and they are looking to increase their business here," said Fred P Hochberg, chairman of Export Import Bank (Exim) of the United States.

The Bank is also helping companies like GE and Westinghouse in setting up nuclear projects in India. "...talks are moving forward. The real progress has been made in liability issue and Convention on Supplementary Compensation (CSC) issue and we are moving well on that path that will open India not only to United States but also to other countries to participate in generating nuclear power in India," he said.

Asked about the solar mission dispute with India at the WTO, he said: "I very much respect the idea of Make in India, at the same time we have to balance between local manufacturing and innovation in best technology. One has to find a path through that."

In 2014, the US dragged India to WTO on the country's solar mission. The US alleged that India's programme appears to discriminate against the US solar equipment by requiring solar energy producers to use locally manufactured cells and by offering subsidies to those developers who use domestic equipment. It also alleged that forced localization requirements restricted US exports to Indian markets. After losing the battle at WTO last year, India is looking to modify its solar power programme.

National Solar Mission aims to establish India as a global leader in solar energy by creating the policy conditions for its diffusion across the country as quickly as possible. The US primarily exports thin film technology for the solar panel.

Original Post: BS Reporter

India agrees to modify solar programme to allay US concerns

India has agreed to modify its solar power programme and sent a proposal to the US in a bid to strike a bilateral deal ahead of the World Trade Organization’s (WTO) final ruling on their dispute on Friday. India lost the preliminary case at the WTO in August last year.

According to the proposal worked out jointly by the commerce ministry and the ministry of new and renewable energy, India will now use the domestic content requirement for buying solar panels for its own consumption—such as by the railways and defence—and will not sell the power generated from such subsidized panels for commercial use. “We hope the US will accept the proposal and withdraw the case from the WTO. This is also in the interest of the US as China has taken over the solar panel production and the US is no longer a large player in this business,” a commerce ministry official said on condition of anonymity.

In February 2013, the US requested consultations with India concerning certain measures relating to domestic content requirements under the Jawaharlal Nehru National Solar Mission (NSM) for solar cells and solar modules. In May 2014, the WTO set up a dispute settlement panel to examine the complaint. China accounted for 66% of Indian imports of solar power panels during April-June of 2015, power minister Piyush Goyal informed the Lok Sabha in December. More than 29 million of the 44 million imported solar power panels came from China during the period. Other countries on which India depends heavily for the import of solar panels include Taiwan and Malaysia.

In August last year, Goyal informed the Lok Sabha that the total annual installed domestic manufacturing capacity of solar cells and modules is 1,328MW and 2,523MW, respectively.India has an ambitious solar power programme under the NSM, which is aimed at adding 100,000MW of solar power by 2022. However, the local content requirement is only for 5,000MW each for rooftop and land-based projects where the government provides a subsidy.The government has offered financial support of up to Rs.1 crore per MW to the implementing agency for setting up large solar capacities by placing orders with domestic manufacturers.

Sambitosh Mohapatra, who oversees the power and utilities practice at consulting firm PricewaterhouseCoopers, said that with renewed interest in manufacturing solar panels in India by companies such as contract manufacturing giant Foxconn and Chinese solar-panel maker Hareon Solar Technology Co., India will be able deal with any adverse judgement by the WTO.

“The government’s M-SIPS scheme through which it provides capital and revenue subsidy is attracting solar panel producers to manufacture in India. Even most government tenders do not have a local content requirement. The context for the WTO judgement case has changed a lot since it was filed in 2013,” he added, M-SIP stands for modified special incentive package scheme, which was extended for another five years last year.

WTO members are not supposed to insist on national content requirements that discriminate against foreign products. Governments are also required to provide sellers “national” treatment, under which imports must be treated on a par with domestically manufactured products.

In a confidential report issued to the US and India in August, a three-member dispute settlement panel headed by former New Zealand envoy David Walker ruled that New Delhi had violated global trade rules by imposing local content requirements for solar cells and solar modules under the NSM, Mint reported on 27 August 2015.

The panel also struck down the Indian government’s incentive policies, especially subsidies provided for domestic solar companies for manufacturing solar cells and solar modules.

After the US dragged India to the WTO in 2013, it blocked the first request by the US to set up a dispute settlement panel after negotiations failed between the two countries.

Under WTO rules, the trade body was obliged to set up the panel after the US made a request for the second time.

The US charged India with violating provisions in what are called the trade-related investment measures (TRIMS) by imposing local content requirements that discriminate against foreign products.

Washington claimed that the Indian government’s measures to impose national content provisions and deny “national” treatment have impaired benefits accruing to US companies. Environmental groups criticized the preliminary ruling, saying it threatens the clean energy economy and undermines action to tackle climate change.

“Today, we have more evidence of how free trade rules threaten the clean energy economy and undermine action to tackle the climate crisis,” said Ilana Solomon, director of Sierra Club’s Responsible Trade Program, on the preliminary ruling when it was issued in August last year.

India’s national solar programme, said Solomon, “has driven dramatic growth of India’s solar capacity that will help reduce its reliance on dirty coal and spur the development of new clear energy jobs”.

“The US should be applauding India’s efforts to scale up solar energy—not turning to the WTO to strike the programme down,” she added.

OriginalPost: LiveMINT

Indian Cabinet approves 5GW of Solar PV projects

The proposed projects would be developed under Batch-lV of Phase-ll of the Jawaharlal Nehru National Solar Mission (JNNSM), a government initiative that is aimed to have 20,000MW of grid connected solar power by 2022 which is now enhanced upto 1,00,000MW. The government plans to provide Rs50.5bn ($742.3m) in Viability Gap Funding (VGF) for the projects. The solar plants will be developed in four tranches of each 1,250MW capacity during four financial years viz. 2015-16, 2016-17, 2017-18 and 2018-19. More than 30,000 would be created as part of the development of these projects. The government would invite bids from solar power developers for the construction of the grid connected solar power projects on build, own and operate basis. The projects will be set up in the solar parks of various states,developed through coordinated efforts of central and state agencies. Solar Energy Corporation of India (SECI) will sign power purchase agreement (PPA) with the selected developers and the power sale agreement with the buying entities for the clean electricity generated at the projects. The projects are expected to generate more than 8,300 million units of clean electricity that will be enough to power nearly 2.5 million households every year, reducing about 8.525 million tons of CO2 emissions into environment every year. Commissioning of the projects would take place within 13 months from the date of signing of PPAs with the selected developers and the power sale agreement with the buying entities for the clean electricity generated at the projects. The projects are expected to generate more than 8,300 million units of clean electricity that will be enough to power nearly 2.5 million households every year, reducing about 8.525 million tons of CO2 emissions into environment every year. Commissioning of the projects would take place within 13 months from the date of signing of PPAs. 

Key: The solar PV projects are expected to generate more than 8,300 million units of clean electricity.

                                             

Original Post By: CleanTechnologyBusinessReview