National News

Solar power tariff dips further, hits an all-time low of Rs 1.99 per unit

The SECI auction held on November 24 had recorded then lowest-ever solar power tariff at Rs 2 per unit which on Monday dropped to Rs 1.99 per unit in Gujarat Urja Vikas Nigam Ltd (GUVNL) auction which is further an all-time low

PSU Watch Bureau
  • Solar power tariff in India dips to an all-time low of Rs 1.99 per unit

  • In an auction of 500 MW capacity by Gujarat Urja Vikas Nigam Ltd (GUVNL) last week the tariff recorded lowest in the bidding

  • These extremely competitive solar power tariffs are close to 50% lower than the existing thermal power costs

New Delhi: As expected the solar power tariff in India has hit an all-time low of Rs 1.99 per unit. The case in news is an auction of projects of 500 MW capacity by Gujarat Urja Vikas Nigam Ltd (GUVNL) last week. A source in the know of the matter confirmed that the solar power tariff has dropped to a new low of Rs 1.99 per unit in an auction for 500MW projects by GUVNL last week. State-run power giant NTPC (200MW), Torrent Power (100MW), Saudi Arabian firm Al Jomaih Energy and Water Co (80MW) and Aditya Birla Renewable (120) have emerged as the lowest bidders by quoting Rs 1.99 per unit tariff under the auction, the source added.

In an auction concluded on November 24 the solar power tariff had dropped to a record low of Rs 2 per unit in a Solar Energy Corporation of India (SECI) for 200MW and 400MW capacities. The Al Jomaih Energy and Water Co and Green Infra Wind Energy had emerged as the lowest bidders in the auction. In the auction, NTPC had lost to these firms as the PSU had quoted a price of Rs 2.01 per unit for 600 MW capacity.

However, the NTPC had got the balance amount of 470 MW even as it had bid for 600 MW because it was the L2 (second lowest) in the auction.

In July this year, solar power tariffs had dropped to a low of Rs 2.36 per unit in an auction of 2GW capacities by SECI.

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