GPCL Released Two Drafts for 5000MW Dholera SIR Ultra Mega Solar Park


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GPCL (Gujarat Power Corporation Limited ) has drafted an Implementation and Support Agreement for Grid Connected Solar Photovoltaic Projects for Dholera SIR Ultra Mega Solar Park ( Phase – I) 1000 MW. Along with this it has also drafted a Land Lease Agreement for the same solar park. This project is under the National Solar Mission and is located in Gujarat.


Ultra Mega Solar Power Projects, also known as Ultra Mega Solar Parks, are a series of solar power projects planned by the Ministry of New and Renewable Energy of the Union Government of India. Each power project has a minimum capacity of 500 MW. The National Solar Mission came in force In December 2014 when the Government of India introduced a scheme to establish at least 25 solar parks and Ultra Mega Solar Power Projects, adding over 20 GW of installed solar power capacity and financial support for the construction of these solar projects is provided by the Central Government. 5000 MW Solar Park in Gujarat is divided into two phases. Phase – I is of 1000 MW and Phase – II is of 4000 MW. 


The Implementation and Support Agreement states that GPCL, as part of Solar Park development, will identify and acquire land required and will develop various infrastructure like internal transmission system, water supply, road connectivity, drainage system etc.After considering the expenditure for Development of Infrastructure, will collect one time charges, as per given schedule, as Solar Power Park Development Expenses ( Known as “Upfront Development Charges” ) towards the capital cost for Land development and for providing Common Infrastructure such as Internal Pooling Substation ( 33kV/220 kV ). It will separately charge Annual O&M charges for Operation and Maintenance of the facilities. The Agreement is valid for 25 years from the SCOD of the project and it may be extended for a further period on mutually agreed terms and conditions at least 180 days before the expiry date. 

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There are two options of payment, Option1 is quarterly advance payment with no Discount and  Option2 is yearly advance payment where Discount would be given @ the rate equal to State bank of India MCLR lending rate as on 1st April of the new financial year. 

The draft also stated that upon payment of minimum 25% of UDC, GPCL shall give the advance possession of the land and shall allow SPD to work at the Site whereas, Upon submission of Bank Guarantee for the remaining amount of UDC or upon payment of 100% UDC, GPCL shall proceed for the execution of Lease Deed. Annual O&M of CIFSP charges will be calculated at the rate of Rs.90,000 (Rupees Ninety thousand only) per MW per annum in the first year which is escalated annually at the rate of 5% shall be payable by SPD on or before 30th April at the beginning of each financial year during the agreement period and first-year annual O&M charges shall be payable by SPD(Solar Power Project Developer) on pro-rata basis within 15 days from the SCOD(solar Commercial Operation Date ). 

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Drafts also consist that water consumed by SPD shall be “metered and charged” OR “pre-allocated based on advance demand” at the rate of Rs.38 per Kilo Litre for year 2019- 20, with an increment of 6% every year. DSIRA has fixed up Rs. 38 per Kilo Litre for Potable (Drinking water) & Rs. 20 per Kilo Litre for Recycled water and GPCL shall levy an additional 5% of basic water rate as administrative charges. Lessor on the execution of the agreement will deliver vacant possession of above-mentioned land free from all encumbrances to the Lessee within 15 days from the date of signing of the agreement or signing of Implementation and Support Agreement whichever is late

It highlighted that “Inter-connection point or Delivery point” shall mean the point at 220 kV side of 400/220 kV Sub-Station of GETCO(STU). For the year 2019-20, 10,000 Rupees per Hectare per Year Lease rent has been decided to levied and there will be an increment of 15% every three years.GPCL will provide the Right of Way to install necessary 33 kV cable up to Internal Evacuation Substation. SPD shall install underground cable from the project to the 220/33 kV Pooling Substation at its own cost.  

Draft mentioned that during the term of the lease, the Lessee shall keep the buildings, structures and the Plant which may be erected on the Demised Premises (excluding foundation and plinth) insured in the name of Lessee against any loss or damage by fire and any other natural calamities and accidents in a sum equivalent to the cost of the buildings, structures and the Plant (excluding foundations and plinths) with one or more reputed insurance companies registered with the Insurance Regulatory and Development Authority of India. The lessee should supply a copy of the Annual Audit Report to the Lessor, about the accounting year within six months from the expiry of the accounting year.

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It also mentions that the SPD shall not transfer, assign, let, underlets, sublet, license, mortgage, charge, encumber or part with the possession of the Demised Premises or any part thereof or any interest therein without prior permission of GPCL and metering shall be at 33kV side of 220/33kV substation where the power from the solar power project is injected and at the 220 kV Side of 400/220kV substation of STU i.e., GETCO. 

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