India Solar PV Advisor
The Most Comprehensive and Detailed Guide for the Indian Solar PV Industry
The fast evolving solar PV industry in India presents significant opportunities to you. But you need a powerful guide that will help you benefit from this opportunity. The EAI India Solar PV Advisor provides this powerful guidance.
The launch of the National Solar Mission has given a big impetus to solar energy in India. The highlights of the mission are given below:
- Installed capacity of 20000 MW by 2022
- Establishment of a single window investor friendly mechanism
- Envisages an investment of Rs 90,000 crores over the next 30 years
- Initial investment of Rs 4,337 crores provided by the Government of India
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Target for the First Phase of the Mission
- Total target for power generation 1st Phase (ending 2013): 1,300 MW (PV+CSP)
- Grid Connected (33 kV): 1,000 MW (PV + CSP)
- Rooftop PV and Small Solar: 100 MW
- Off-Grid PV Applications: 200 MW
Highlights and Status Grid Connected Solar PV Power Plants Under National Solar Mission May 2011
By December 2010, a total of 150 MW of grid connected solar plants were awarded to 30 companies, each for 5 MW. Another 350 MW of grid connected solar PV will be awarded during 2011-2012.
- 1000 MW of solar power projects to be selected in total
- Solar PV and Solar Thermal projects to be allocated in a ratio of 50:50, in MW terms
- 150 MW of solar PV projects to be selected for 2010-11 (already completed); about 54 MW were awarded through the migration scheme.. Capacity of each solar PV project awarded in the first round: 5 MW +/- 5%
- The first round for the allocation of 150 MW saw applications do a reverse bidding for tariff setting, with the result that the average tariff awarded was Rs 12.16 per kWh, as against the ceiling of Rs 17.91 per kWh.
- An additional 350MW of solar PV power projects will be allotted during 2011- 2012. During batch II, the minimum capacity of a single PV plant is restricted to 5 MW and the maximum capacity of a single PV plant has been raised to 20 MW. Plant capacity will be in multiples of 5MW. In other words, a developer can bid for projects of size 5 MW, 10 MW, 15 MW or 20 MW. Winners of projects under the previous round of bidding or under the Gujarat can bid for these projects.
- During batch II, a company in any form (including parent, affiliate, ultimate or any group company) can bid for a maximum of 3 projects totaling 50MW.
- Deadline for achieving financial closure 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.
- For batch II, part commissioning of the project is being accepted by NVVN subject to the condition that the minimum capacity for acceptance of part commissioning shall be 5 MW and in multiples thereof.
As a result of the National Solar Mission and the successful completion of the first stage, it is expected that solar PV based power plants will become an exciting business opportunity. While power production through solar energy is possible using both solar thermal (using the heat in the sunlight) and solar photovoltaic (using the light energy), electricity generation worldwide is more prominent through solar PV than through solar thermal. This trend is expected to continue in India as well.
As a result of this Mission, it is expected that solar PV based power plants will become an exciting business opportunity. While power production through solar energy is possible using both solar thermal (using the heat in the sunlight) and solar photovoltaic (using the light energy), electricity generation worldwide is more prominent through solar PV than through solar thermal. This trend is expected to continue in India as well.
The India Solar PV Advisor was prepared by EAI Team for those keen on investing in the Indian solar PV based power generation sector. It was developed in response to a specific need for a high-quality, definitive intelligence that facilitates decision-making and provides an actionable guide.
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The India Solar PV Advisor has been compiled using the intelligence gathered from extensive interactions with government departments, existing and prospective power plant developers, consultants and other industry experts, cell and module producers, state electricity boards, and banks/financial institutions.
What will you know after reading this guide?
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The EAI team would like to talk to you to understand how we can help you in your Solar PV efforts. If you are interested in purchasing the report or getting our help, talk to us now.
Dharini
Email : consult@eai.in
Mobile : +91-7358263274 (India)
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No of Pages : 250
Last Updated : September 2011
Solar PV Value Chain
The solar PV value chain consists of a number of specific and distinct steps from the production of silicon to the end use in solar power plants or in solar panels used for distributed power generation (e.g. solar panels on residence rooftops). Range of business opportunities available along the entire value chain is explained in the report.
A detailed value chain of entire solar PV industry is given below
Key Take-aways from the India Solar PV Advisor
- By 2050, about 69% of the electricity produced in India will come from renewable energy sources.
- The top five states in India for solar PV potential are respectively Gujarat, Rajasthan, Maharashtra, Tamil Nadu and Andhra Pradesh
- Under the Jawaharlal Nehru National Solar Mission (JNNSM), India is expected to reach a total solar installed capacity (both PV and CSP) of 20,000 MW and a total electricity generation of 25-30 TWh per year by 2022.
- The JNNSM has proposed a feed in tariff rate of Rs 15.39 during the batch II of phase I for solar PV power plants with a power purchase agreement for 20 years. Selection of projects is likely to happen through reverse bidding.
- JNNSM is not likely to continue the scheme of project allotment by bidding in the subsequent phase 2013-2017 and 2017-2022. MNRE is likely to promote solar projects by REC and RPO implementations rather than the PPA route.
- Following JNNSM, a few states like Gujarat, Rajasthan and Karnataka have come up with their own state policy to promote solar power production. A few more states like Tamil Nadu, Maharashtra and Andhra Pradesh are in the process of deliberations and may soon draft a policy.
- Currently, the capital cost for a solar PV power plant with multi crystalline silicon technology is about Rs 11 to Rs 12 crores per MW, with about 50% of it going towards solar panels, 25% towards inverters and balance of systems, and final 25% towards installation and other infrastructure. The cost of power plant with the use of thin films however could be as low as Rs. 10 to 11 crores
- Capital cost for solar PV power plants with crystalline silicon is likely to be about Rs 10 crores per MW by end 2013 when phase II of the mission is implemented.
- A 1MW solar PV power plant can generate about 1.4-1.6 million units (kWh) of electricity per year depending on the location.
- The area requirement for a 1 MW power plant that uses crystalline silicon technology would be approximately 5 acres. This could be on the higher side in case of thin film usage in the power plant.
- The levelized cost of electricity production from solar PV is Rs 8-10/kWh.
- Prominent domestic banks that fund renewable projects are IDBI, ICICI, IFCI, SBI, and PNB among others.
- According to MNRE, the cost of power generation from solar PV is likely to be competitive with grid tariff by 2017 (�grid parity�).
- Off grid PV installations in India predominantly comprise of small capacity applications. These are most visibly seen in lighting applications (street lighting, and home lightning systems) in cities and towns, and in small electrification systems and solar lanterns in rural areas.
- On the technology part, in India, crystalline silicon technology to accounts for most of the market, and currently, the market share of thin film technology, though fast increasing, is estimated at only about 10%.
- Currently, thin film technology has not reached the efficiency level of crystalline solar cells and is unlikely to be used for large-scale power production until 2012.
- Currently, India does not have any infrastructure for raw material production (polysilicon) and is entirely dependent on imports for the same.
- India has always been a net exporter of solar PV technology, with about 66% of cumulative domestic PV production till 2009 catering to overseas markets
- Business opportunities in the solar PV industry go far beyond power plants; these opportunities are present in all three sectors: manufacturing, trading and services. Among these, the largest number of opportunities are present in the manufacturing segment, followed by services.
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List of Contents
Section I: Should I Invest in Solar PV? |
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1. Solar PV Business Analysis
Section II: What are the costs and return on investment?2. Solar PV in India – Costs, Investments and Returns
Section III: What incentives are available from the government?3. Government Incentives and Support
SECTION IV: WHAT SHOULD BE MY NEXT STEPS FOR PUTTING UP A SOLAR PV POWER PLANT?4. Next Steps to be taken by a Solar PV Power Plant Developer
5. Developing a Prefeasibility Report
6. Project Development for Solar PV Power Plants
SECTION V: WHAT ARE THE OPPORTUNITIES AVAILABLE IN SOLAR PV, OTHER THAN POWER PRODUCTION?7. Solar Energy Value Chain and Business Opportunities
SECTION VI: WHAT ARE THE CURRENT TRENDS IN THE SOLAR PV INDUSTRY IN INDIA?8. Solar PV in India – Industry Status and Trends
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Break-Up for the Capital Expenses per MW
Capital Costs for Solar Photovoltaic Systems by Scale The following table provides the approximate capital costs for solar PV power (2011) Capital Cost for Solar PV in 2011
Source: EAI REC tariff for solar power
Source : CERC
Notes Real-life Data of Electricity Produced per MW from Solar PV Plants
The significance of this stage can be seen from the fact that around a quarter of the cost of a crystalline module is just for polysilicon.
Solar Energy Technology The top 5 districts with the best solar irradiation in Gujarat are given below.
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Reference
Solar Energy Related Web resources & Other Alternative Energy Web Resources
- Solar Energy Web Resources
- Solar Energy News
- Solar Energy Blogs
- Solar Energy Forum
- Solar Energy Portal
- Other Alternative & Renewable Energy Related Web Resources
- Renewable Energy News Sites
- Renewable & Renewable Energy Blogs
- Renewable Energy Forums
- Renewable Energy Portals & Guides
Appendix
- A 1. Renewable Energy Investing in India
- A 1.1 Dedicated International Funds and Schemes for Renewable Energy
- A 1.2 Details of Indian Investments in Renewable Energy and Clean Technologies
- A 1.3 Stages of Investments
- A 1.4 India Prominent Clean Technologies Equity Investments
- A 1.5 India Clean Technologies Equity Investments by Segment (2008)
- A 1.6 Prominent M&A Deals in Cleantech
- A 1.7 Private Equity Investments in Cleantech by Year
- A 1.8 Prominent Investments Made in Indian Renewable Energy
- A 1.9 Other References
- A 2. List of Solar PV Projects Selected Under JNNSM, Phase I, Batch I
- A 2.1 Grid-connected Solar Power Projects under JNNSM
- A 2.2 List of Rooftop and other Small Solar Power Projects
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About EAI
Energy Alternatives India (EAI), part of Clixoo, provides support services and solutions to the renewable energy industry in India. EAI has today emerged as a leading consulting and market strategy company for all the primary renewable energy sources solar, wind, bio-fuels, hydro and waste to energy.
EAI was formed by a team of renewable energy professionals from prestigious institutes such as the IITs and IIMs having over 15 years experience in sales & marketing, and is based in Chennai, India. They are supported by a strong research team this combination enables us to view a situation holistically, and come out with practical solutions.
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Dharini
Mobile: +91-7358263274
Email: consult@eai.in