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The Andhra Pradesh government has agreed to procure 9 GW of solar power from the Solar Energy Corporation of India (SECI) under the manufacturing-related solar bidding initiative.
SECI had written to the Andhra Pradesh government asking to procure 9 GW of solar capacity to be set up in the years 2024, 2025, and 2026 in three tranches of 3 GW each.
According to the sources, SECI has proposed this as a suitable alternative to the state government’s 6.4 GW of PV bid which ran into legal complications.
SECI stated that under a manufacturing-related power supply agreement (PSA), the state will provide electricity at Rs 2.49 / kWh, and the entire 25-year power purchase agreement will be exempt from interstate transmission system (ISTS) charges.
SECI explained that between December 2019 and June 2020, a 12 GW project was awarded for four tranches, 3 GW each, under a manufacturing-linked solar bid.
The balance 9 GW will be set up in three phases 3 GW each and will be ready in September 2024, September 2025, and September 2026, respectively.
“Therefore, it is our request for the AP Government to utilize the entire 9 GW of PV installed between 2024, 2025 and 2026, Atulya Kumar Naik, General Manager, SECI said in a letter asking for AP confirmation.