SECI Payments To Wind and Solar Power Generators Surge BY 15.66% YoY, Marking a 6.41% Monthly Decline In December 2023

SECI (Solar Energy Corporation of India) is a government-owned company responsible for implementing the National Solar Mission and other renewable energy projects in India. In November 2023, SECI payments to wind and solar power generators decreased by 6.41% compared to the previous month. However, compared to the same period last year, SECI payments have increased by 15.66%.

The monthly decrease in SECI payments due to seasonal changes such as post-monsoon season might experience lower wind speeds in certain regions and potentially less sunlight, affecting the output from both wind and solar plants, follows the year-over-year increase in monthly payment is a positive sign for the renewable energy sector in India. This yearly growth indicates that the government’s efforts to promote renewable energy are paying off, with more wind and solar power generators coming online and contributing to the country’s power mix.

India had set a target of achieving around 500 GW of renewable energy capacity by 2030, with 280 GW from solar and 140 GW from wind. The increase in SECI payments to wind and solar power generators year-over-year is a step in the right direction toward achieving this goal and reducing the country’s reliance on fossil fuels.

Payments totaling ₹8.49 Billion were made to solar and wind power producers by the SECI for the power it purchased in December 2023. The amount is 6.41% less than what was paid out in November 2023.

Disbursements were made in December, accounting for around 88.82% of the nodal agency’s total payments for the month.

The agency paid out duties, payments, and developer reimbursements for the procurement of solar and wind energy totaling ₹9.559 billion in December.

Adani Solar Energy Jaisalmer One, Azure Power Forty-Three, Adani Hybrid Energy Jaisalmer One, Wardha Solar (Maharashtra), Adani Hybrid Energy Jaisalmer Two, SB Energy One, Adani Hybrid Energy Jaisalmer Three, Adani Wind Energy Mp One, Renew Wind Energy (Ap2), Sitac Kabini Renewables, and Eden Renewable Cite received the majority of the payments.

SECI’s payments have provided additional support to renewable generators who were already suffering from DISCOM’s past payment delays. For December 2023, ₹33.21 million was paid for transmission charges and ₹0.432 million for Open Access Charges. SECI paid ₹36.5 million to contractors and service providers, in addition to ₹342.2897 million for Contractor payment for the Own Project. SECI payment to different Wind/Solar generators increased by 15.66% compared to last year’s payment in December 2022 which was ₹7.34 billion.