With a slew of projects in the pipeline, Madhya Pradesh is on track to enhance the solar power generation capacity to about 3,000 MW in next two years from the current 650 MW installed capacity, a senior government official said.
Availability of vast tracks of barren land coupled with fast-tracking of solar power projects under the state government's single window scheme is encouraging private companies to bid aggressively for new projects, the official said.
"When it comes to solar power projects, speedy clearance and implementation is what is attracting private players to Madhya Pradesh," state principal secretary (new and renewable energy) Manu Shrivastava told HT.
Apart from land, the state enjoys the advantage of high solar radiation with around 300 days of clear sun. "The state's current installed capacity is about 650 MW while projects of 1,500 MW are under implementation," Shrivastava said.
Besides, the government will float global tenders for the world's largest 750 MW solar power park, being set up in Rewa district, next month.
Falling cost of solar panels and equipment has led to a steep decline in the tariff. During a competitive bidding held by the Madhya Pradesh Power Management Company in July, companies quoted a tariff of about `5 per unit for a period of over 20 years.
The fall in prices can be attributed to an increase in Chinese export of low-cost photovoltaic cells that has led to a steep drop in prices of solar panels over the past five years, official sources said.
The Modi government's ministry of new and renewable energy has approved a proposal to develop 50 solar cities, including Bhopal. Indore, on the other hand, has been given in-principle approval.
"Master plan of Indore has been prepared and the other corporations/state nodal agencies are in the process of engaging consultants for preparation of master plans," the ministry said.
In terms of solar power generation, Madhya ranks third in India behind Rajasthan and Gujarat.
(With PTI inputs)
Factors in state's favour
Separate solar policy for promotion and implementation of projects
Land allocation preference to solar technology parks
Single window clearance for speedy implementation
Promotion of manufacturing units in equipment and related ancillaries