Wednesday, December 07, 2011

JNNSM Phase I Batch 2 -Solar Power reaching the Grid Parity in India


This was a fantastic news for all of us involved in Grid based Large Solar photovoltaic Projects. Jawaharlal Nehru National Solar Mission (JNNSM) is bringing Indian solar sector to the new heights. The turning point is that for the first time Solar Photovoltaic Power in India is closing to the grid parity with the lowest bid being Rs.7.49 ($ 0.146) per kilowatt hour (/kWh). I could sense the enthusiasm when I visited the SOLARCON conference at Hyderabad, where the speculations were there that this time the bids will be still coming down from the previous one. Lot of US and European based companies had set up booths at SOLARCON like Solar Semiconductor, Azure Power, BERGEN Power, SunEdison etc.

Aggressive bidding has taken place at the JNNSM Phase 1 Batch II. A very aggressive bidding round was seen at the Scope Complex Auditorium for the Batch II of Phase 1 of the Jawaharlal Nehru National Solar Mission (JNNSN). Solar Direct Emerges was the lowest bidder at Rs.7.49/kWh, while Green Infra was the highest bidder at Rs.9.39/kWh.

Other developers such as Welspun - it quoted three projects at Rs.7.97, Rs.8.05 and Rs.8.14/kWh; SunEdison at Rs.9.28/kWh; Mahindra Bids at Rs.9.34/kWh; Sai Sudhir at Rs.8.22/kWh; VS Lignite at Rs.8.54/kWh; and Sunborne Energy at Rs.8.99/kWh.

Meanwhile, Punj Lloyd offered no disount this time. Inderpreet Wadhwa led Azure Power and quoted a very aggressive price of Rs.7.91/kWh (50 megawatts); Sujana Energy at 9.09/kWh; and Kiran Energy quoted Rs.9.34/kWh for a 50 MW project. Green Infra emrged as the highest bidder, having quoted Rs.9.39/kWh.

This has set a trend on the one side making solar energy closer than ever to grid parity while on the other it has presented a big challenge for these projects to achieve financial closure and prove viability.

This bidding for the Solar PV project allotment under the second round of JNNSM phase I and the results from the bidding has shown signs of solar becoming genuinely cost competitive with grid power. While sub 10 bids were obviously expected, the bid price falling below 8 was indeed amazing for many developers and experts.

The Rs 10.59/kWh bid during the first round of bidding during the previous year, resulted in serious discussion over whether the developers are trying to pull wool over the eyes of the general public and more importantly the lender community.
Similar to the previous year results, the new numbers that were out yesterday too has resulted in a lot of debate. With severe penalty clauses in the second round this year and considerable learning during the last year, the discount that could be offered was never expected to cross 50% but all the assumptions and predictions are here to be bulldozed in the solar PV industry. Though the numbers might seem unreasonable at first sight, if one gives a proper thought over it, we would understand that these developers had every reason to submit such lower quote.

As earlier said, the French company Solaire Direct created shock in the industry with an unimaginable Rs7.49/kWh which was just close to grid parity.

Solardirect is the second largest solar power company in France. The company has quoted the so called ‘rock bottom’ price possibly as a part of market entry strategy as they have big plans of entering and growing in the Indian market. The latest report on photovoltaic support schemes released by the French government has caused haywire in the industry since the government threatens to severely curtail incentives including a potential annual cap of 500 MW. The French company has a pressing need to expand their market presence and India being one of the most promising market, the company had shown serious interest in the country with an anticipated target of 25 MW in the year 2011-2012. Also, the company has now saved loads of money which they would otherwise have spent on marketing. They have managed to hit all the headlines and gained extremely significant visibility in the country and all without any phenomenal marketing investments. All the revenues saved could come handy when they implement and operate the historic Rs 7.49/kWh project. The calculative risk and the low bid price is all a part of the market entry strategy.

Welspun Solar, with three different bid prices emerged second only to Solairedirect. Three different price levels and a 50MW clean sweep – and there is definitely some serious thought process behind their high discount bids. For Welspun, solar is of strategic importance and they are well on their way to become the bid daddy of Solar PV power generation sector in India. Project allotments in the first round of JNNSM phase I and projects from Gujarat state policy would have given them very good learning’s and confidence to go all out to secure 50MW and do not forget, they are on the fray to get projects allotted in Karnataka policy too. With past experience (something which is a rarity in the niche solar PV sector in India), the company definitely would have working relationships with EPC companies, module makers, inverter and other BoS manufacturers, lenders etc. The past experiences and associations comes in handy not only for Welspun, but a similar situation exist for a few other renowned solar PV developers like Azure Power, Mahindra Solar, Kiran Energy, Sai Sudhir Energy, Sun Edison India, Green Infra and Sun Borne Energy. All these companies have made the early mover advantage to their fullest benefit and managed to get projects allotted by quoting competitive yet viable prices.

There can be a number of arguments to justify the low bid prices, but we have to wait and see that how these companies are achieving financial closures with these lower tariffs.

Export-Import Bank of America, OPIC will be one of the sought after destinations for many of the victorious developers other than Azure Power. It is however surprising to know that two other well known developers – Punj Lloyd and Acme Solar who were EXIM bank beneficiaries in their previous projects, did not quote competitive prices to emerge victorious.

Deadline for achieving financial closure in the second round of JNNSM phase I has been raised to 210 days (7 months) from the earlier 180 days (6 months). The timeline for the commissioning of the project is also extended by a month – to 13 months from the date of signing PPA from 12 months earlier in batch I. With one more month of additional time coming in as a cushion for the victorious developers, one would have to wait and watch the actions that are to unfold in the days to come.

Now the challenge is to accomplish the projects as per the schedules after signing the PPAs. Of course, most of these developers can benefit from their previous experience in India in setting up Solar Photovoltaic Projects. I am sure that Solar will overtake Wind Energy sector in India if this enthusiasm and spirit prevails which can replace several tons of carbon dioxide otherwise would have produced with fossil fuel based power plants.

23 comments:

Anonymous said...

かどうか材料、バックル、スタッドまたは格安ジッパーに見える、それは最も可能性の高いない物理グッチ。単一のストラップとシルバー
トップ ライニング地味なベージュと茶色のできますそれが見えるように現われる、上品なイザベラフィオーレ !場合はない、それは最善であるかもしれない簡単ですグッチ ウェブサイト最初の製品やデザイン多く選択内。通常いくつかスタイルと利用可能な色の選択肢の番号です。

Visit my web site ... Gucci 激安

Jordans Nike said...

Scott Waring described the stone cheap nike jordan shoes anomaly as a “Face on Mars.” NASA had pointed Cheap Nike jordan shoes out the apparent head statue along with other stone anomalies with cheap jordan different color arrows. This helped bring it to Waring’s attention, wholesale jordan shoes for sale who cheap jordans claims that the head was likely part of a larger cheap jordans statue that discount nike jordans was broken apart during some air jordan shoes past cataclysmic event. The clarity of the head and face is wholesale jordan shoes stunning. This makes it difficult to dismiss Waring’s conclusion Cheap jordans that the wholesale jordan shoes photo is powerful evidence of a jordan shoes for cheap past cheap jordan shoes civilization on Mars.

mao yun said...

5
kobe 9 shoes
ray ban sunglasses
valentino shoes
giuseppe zanotti
abercrombie and fitch
longchamp handbags
burberry handbags
snapback hats wholesale
tod's sale
insanity max 30
instyler
pandora jewelry
timberland boots
links of london jewellery
michael kors outlet online
ray ban sunglasses
kate spade outlet
links of london uk
nba jerseys
cheap oakley sunglasses
cheap snapbacks
toms shoes
swarovski jewelry
hollister clothing
converse outlet
coach outlet store
polo lacoste pas cher
cheap oakley sunglasses
babyliss pro
nfl jerseys
adidas outlet
louis vuitton outlet uk
kate spade handbags
karen millen dresses
herve leger sale
michael kors outlet online sale
pandora charms
air jordan shoes
adidas shoes
thomas sabo uk
20150325maoqiuyun

Weiming Zhu said...

baltimore ravens jerseys
denver broncos jerseys
chicago bulls jersey
cleveland cavaliers jersey
golden state warriors jerseys
los angeles lakers jerseys
oklahoma city thunder jerseys
san antonio spurs jerseys
new york knicks jersey
miami heat jersey
boston celtics jersey
los angeles clippers jerseys
koby bryant shoes
lebron james shoes
chanel handbags
tory burch outlet
coach outlet
coach outlet canada
oakley sunglasses canada
michael kors uk
michael kors uk
michael kors uk
cheap soccer jerseys
cheap football shirts
futbol baratas
real madrid jersey
barcelona jersey
chelsea jersey
manchester united jersey
custom mlb jerseys
nike huarache
nike air max uk
nike free uk
nike trainers
ralph lauren uk
ugg uk
christian louboutin uk
swarovski uk
rolex watches uk
mulberry uk
nike roshe

Qing Cai said...

hollister pas cher
air max 90
michael kors handbags
ray ban sunglasses
soccer shoes
kobe 9 elite
fitflop shoes
nike air max uk
cheap oakley sunglasses
new york knicks jersey
coach outlet
longchamp outlet
nike free 5.0
ray ban sunglasses online
cartier watches
converse shoes
ghd
fred perry sale
coach factory outlet
herve leger
kate spade outlet
true religion outlet
oklahoma city thunder jerseys
tiffany jewelry
tiffany and co jewelry
fivefingers shoes
pandora charms
the north face jackets
tods outlet
jordan 4
ray ban wayfarer
coach outlet canada
cai2015627

Zheng junxai5 said...

2015-07-24 zhengjx
longchamp pliage pas cher
gucci
longchamp pliage
coach outlet store online
cheap ray ban sunglasses
nike pas cher
tn pas cher
tory burch handbags
tory burch outlet
christian louboutin shoes
michael kors
chanel handbags
coach factory
burberry handbags
michael kors handbags
pandora bracelets
pandora charms
kate spade
tory burch shoes
beats by dre
true religion sale
true religion
prada outlet store
tory burch outlet online
gucci bags
air jordan uk
jordans for sale
ralph lauren uk sale
fitflops shoes
air force pas cher
pandora charms sale clearance
mcm bags
cheap oakley sunglasses
jordan shoes uk
mont blanc
chanel online shop
michael kors outlet
ray ban sunglasses uk
football jerseys
ralph lauren polo shirts

Qing Cai said...

oakley sunglasses
air max 90
coach outlet
nfl jerseys
air jordan shoes
longchamp handbags
tory burch outlet
ralph lauren outlet
tommy hilfiger outlet
giuseppe zanotti outlet
ray ban
true religion outlet, http://www.truereligionjean.in.net
louis vuitton outlet
michael kors outlet
michael kors uk
replica handbags,replica handbags outlet,cheap handbags,purses and handbags,wholesale replica handbags,replica bags,bags outlet,replica handbags wholesale,cheap purses,discount handbags,handbags sale,wholesale purses,handbags and purses,replica purses
babyliss pro
coach outlet online
ray ban sunglasses
true religion jeans, http://www.truereligionoutletstore.us.com
coach outlet
converse shoes
tory burch outlet online
burberry outlet
cheap nfl jerseys
true religion jeans, http://www.truereligionjeanscanada.com
vans shoes
ugg boots, http://www.uggboot.com.co
ray ban sunglasses online
timberland shoes
cai2015824

Minko Chen said...

cheap nfl jerseys, http://www.cheap-nfljersey.us.com/
mulberry,mulberry handbags,mulberry outlet,mulberry bags,mulberry uk
new york knicks jersey, http://www.newyorkknicksjerseys.com/
gucci handbags, http://www.guccihandbags-outlet.co.uk/
ray ban uk,ray ban wayfarer,ray ban sunglasses,ray ban,rayban,ray bans,raybans,ray ban glasses
michael kors wallet, http://www.michaelkorswallet.net/
thomas sabo bracelet, http://www.thomassabos.co.uk/
dansko outlet, http://www.dansko-shoes.us/
kobe shoes, http://www.kobeshoes.us/
new york jets jerseys, http://www.newyorkjetsjersey.us/
prom dresses, http://www.cheap-weddingdresses.net/
ralph lauren uk, http://www.ralphlauren-outletonline.co.uk/
baltimore ravens jerseys, http://www.baltimoreravensjerseys.us/
valentino sale, http://www.valentinooutlet.us.com/
ray ban sunglasses, http://www.raybansunglassesonline.in.net/
wm916

Meiqing Xu said...

15922meiqing
ralph lauren polos shirts
prada outlet
giuseppe zanotti sneakers
coach outlet online
christian louboutin
north face
tods outlet
moncler outlet
canada goose uk
ray ban outlet
fitflops sale clearance
nike blazer
toms wedges
nike roshe runs
pandora jewelry
canada goose jackets
michael kors handbags
adidas shoes uk
toms outlet
supra shoes
longchamp handbags
michael kors outlet online
cheap versace
replica watches
prada
nike huarache trainers
louis vuitton borse
insanity workout
coach outlet
christian louboutin outlet

Wenhao Guo said...

ddddd0925new orleans saints, http://www.neworleanssaintsjerseys.us/
timberland outlet, http://www.timberlandboots.name/
true religion jeans, http://www.truereligionjeanscanada.com/
oakley outlet online, http://www.oakleyoutlet.in.net/
los angeles clippers, http://www.clippersjerseystore.com/
snapback hats, http://www.cheapsnapbacks.us.com/
rayban sunglasses, http://www.raybansunglass.com.au/
futbol baratas, http://www.futbol-baratas.com/
nike air max,air max,air max 2014,nike air max 2014,air max 90,airmax,air max 95,air max 2013,nike air max 90,nike air max 2013
nike free run, http://www.nikefreerunning.org/
mizuno running, http://www.mizunorunningshoes.us/
swarovski outlet, http://www.swarovski.in.net/
coach outlet, http://www.coachoutletonline-store.us.com/
ugg outlet, http://www.uggoutletstore.eu.com/
basketball shoes, http://www.basketballshoes.us.com/
replica watches, http://www.replicawatchesforsale.us.com/
converse outlet store, http://www.converseshoes.us.com/
juicy couture sale, http://www.juicycoutureoutlet.net/

Wenhao Guo said...

lacoste polo
moncler jackets
canada goose coats
ugg outlet
nhl jerseys wholesale
adidas outlet store
polo ralph lauren uk
longchamp bags
minnesota vikings
the north face jackets
gucci
los angeles lakers
michael kors uk outlet
tory burch handbags
los angeles clippers
roshe run women
michael kors handbags wholesale
true religion jeans
nike free run uk
snapback hats
fitflop outlet
air jordan 13 free shipping
ray-ban sunglasses
cheap oakley sunglasses
michael kors handbags
marc jacobs outlet
nike trainers uk
christian louboutin
washington redskins
polo ralph lauren outlet
replica watches
ugg outlet store
dddddddddd1103

Wenhao Guo said...

lacoste polo
moncler jackets
canada goose coats
ugg outlet
nhl jerseys wholesale
adidas outlet store
polo ralph lauren uk
longchamp bags
minnesota vikings
the north face jackets
gucci
los angeles lakers
michael kors uk outlet
tory burch handbags
los angeles clippers
roshe run women
michael kors handbags wholesale
true religion jeans
nike free run uk
snapback hats
fitflop outlet
air jordan 13 free shipping
ray-ban sunglasses
cheap oakley sunglasses
michael kors handbags
marc jacobs outlet
nike trainers uk
christian louboutin
washington redskins
polo ralph lauren outlet
replica watches
ugg outlet store
dddddddddd1103

mmjiaxin said...

celine outlet
oakley sunglasses
air jordan 11
michael kors outlet
ugg outlet
longchamp handbags outlet
ralph lauren outlet
jordan shoes 2015
toms outlet store
lacoste shirts
coach outlet store
oakley sunglasses wholesale
ralph lauren outlet
beats by dre
tory burch outlet
lebron shoes
cheap nfl jersey
true religion outlet
canada goose coats
nike trainers
mm1202

方松腾 said...

ugg boots
cheap oakley sunglasses
true religion sale
air jordan 11 free shipping
toms outlet
louis vuitton outlet
michael kors outlet,michael kors outlet online,michael kors,kors outlet,michael kors handbags,michael kors outlet online sale,michael kors handbags clearance,michael kors purses,michaelkors.com,michael kors bags,michael kors shoes,michaelkors,cheap michael kors
north face jackets
ferragamo shoes
soccer jerseys,soccer jerseys wholesale,soccer jerseys cheap,soccer jerseys for sale,cheap soccer jersey,usa soccer jersey,football jerseys
ugg boots on sale
vans sneakers
oakley sunglasses
fitflops outlet
coach outlet online,coach purses,coach handbags,coach bags,coach handbags sale,coach handbags outlet

林磊 said...

ray ban sunglasses
toms outlet
lululemon sale
michael kors outlet online
michael kors
ray ban sunglasses outlet
valentino store
ray ban sunglasses
gucci outlet online
prada outlet
fitflops clearance
ralph lauren pas cher
michael kors outlet
toms outlet
ed hardy
coach factory outlet
nike blazer
christian louboutin shoes
timberland uk
reebok shoes
rolex daytona
burberry
babyliss flat iron
asics shoes
air max 90
hermes belt
michael kors outlet online
louboutin pas cher
babyliss pro
coach factory outlet
oakley outlet
polo outlet
michael kors bags
prada handbags on sale
reebok classic
michael kors handbags
omega watches
louis vuitton borse
adidas superstars
ugg sale

Hua Cai said...

christian louboutin uk
cheap replica watches
kate spade uk
longchamp outlet
michael kors bags
soccer jerseys wholesale
swarovski crystal
michael kors uk outlet
ray ban sunglasses
michael kors uk
louis vuitton sunglasses for women
ralph lauren polo
cartier watches for sale
air max 90
true religion canada
lululemon pants
ralph lauren
ralph lauren uk
ray-ban sunglasses
longchamp handbags
tiffany outlet
polo ralph lauren
burberry outlet sale
oakley sunglasses wholesale
true religion outlet
beats by dre
tiffany outlet
prada outlet
tiffany jewellery
michael kors handbags sale
ralph lauren outlet
michael kors uk
fitflops clearance
prada handbags
nike air max 90
20160528caihuali

mmjiaxin said...

michael kors outlet online
adidas nmd
http://www.tiffanyand.co.uk
michael kors outlet clearance
http://www.oakleyoutlet-store.com
http://www.michaeljordanshoes.us.com
adidas nmd runner
authentic jordans
chrome hearts online
michael kors outlet
tiffany and co
fitflops
ray ban uk,cheap ray ban sunglasses
michael kors purses
fitflops
cheap jordans online
michael kors handbags
adidas nmd
nike huarache
louis vuitton handbags
nfl jerseys wholesale
nfl jerseys from china
cheap oakley sunglasses
cheap real jordans
michael kors outlet
adidas nmd uk
nike huarache
michael kors handbags clearance
links of london outlet store
michael kors outlet
cheap uggs
cheap air jordan
yeezy boost 350
kobe shoes,kobe zoom,nike zoom kobe
nike air huarache
gg

Gege Dai said...

burberry outlet sale
versace sunglasses
michael kors handbags wholesale
michael kors outlet
dior outlet
nike free run
michael kors outlet clearance
cheap uggs
michael kors handbags
ugg outlet
nike roshe run
michael kors wholesale
ugg outlet store
rolex watches outlet
asics,asics israel,asics shoes,asics running shoes,asics israel,asics gel,asics running,asics gel nimbus,asics gel kayano
longchamp pas cher
cheap replica watches
cartier watches
nike air max 90
jordan pas cher
abercrombie outlet
nba jerseys
the north face jackets
tiffany and co
true religion uk
hollister clothing store
swarovski crystal
lululemon outlet
coach outlet
toms shoes
rolex watches,rolex replica watches,replica rolex watches,replica watches
adidas nmd runner
air jordan 11
mac cosmetics sale
true religion jeans
coach outlet online
0808jianxiang

fangyaoting said...

fangyanting20160919
nike roshe
calvin klein underwear
coach outlet canada
hermes outlet
mulberry outlet
pandora jewelry
adidas wings
true religion outlet
true religion jeans
michael kors outlet

Blogger said...

There is a chance you're qualified for a new solar energy rebate program.
Click here to find out if you qualify now!

Binasa Lakryuzo said...

I found your this post while searching for some related information on blog search...Its a good post..keep posting and update the information.
Freeware On This Blog​​

Anne Lin said...

The Tennessee Titan Flag is viewable from both sides with the opposite side being a reverse image.Fly your Tennessee Titan Flag with our tailgate pole or 6' aluminum flagpole and adjustable flag bracket.nfl flags wholesale
nfl house divided flagsFalcons house divided flags
Ravens american flags

aaa kitty20101122 said...

lebron 14 shoes
yeezy boost
air force 1
nike zoom
adidas superstar shoes
longchamp
true religion
kobe bryant shoes
curry 3 shoes
michael kors outlet

New and Renewable Energy

New and Renewable Energy
Your source for the New and Renewable Energy News and Technologies