The government of Andhra Pradesh received a positive response from businesses invited to earlier this month to build another 6,400 MW of electricity in the province, with a total of 14,900 MW received bids.
Adani Group, Torrent Power and state-run NTPC were trained to be among the bidders, while Adani contributed to building each of the major powers.
The interest of big investors in the state solar sector has put the possibility that the latest tender process could come to a standstill after a host of major developers do not participate in it, citing a negative government record. Solar power producers have successfully called on the national government to extend the bidding period for the latest tender by three months to “fully understand the technical aspects of the proposed project”.
Solar plants are designed for construction in the Kurnool, Ananthapuramu, Prakasam and Kadapa regions.
The national government had previously started building a MW solar park in Kadapa, in partnership with the Center, but did not allocate land or award land contracts.
The country’s government had set up a committee to review the “affordable” solar energy purchase agreements in July 2019, saying it may be related to “mala fide objectives”. The government has continued with the program even though the Institute’s advice said this could undermine investors’ confidence in the sunrise sector and could have a negative impact on India. Andhra Pradesh Supreme Court has overturned a national government’s announcement of renegotiation of PPAs, and ordered discoms to pay more than 7,500 MW of wind and solar plants at an interim rate of Rs 2.43 per unit – compared to Rs 4.84 per unit early detection – until legal disputes are resolved.
Renewable energy producers in Andhra Pradesh recently demanded the intervention of the Center to clear the $ 3,000 million outstanding debt owed by state discs. Developers did not receive regular payments or reduced prices from discos, pending dispute resolution. Excess revenue – earnings expected more than 60 days – on solar and wind plants increased by 30% from April to Rs 2,921 crore at the end of October.
The undisclosed amount from lower prices was fined approximately Rs.5000 million and the case is currently in the high court. The case was last heard by a court on March 11, 2020.
Source:- Financial Express