Gujarat in talks with IFC for 1,000MW solar project

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  DJ Pandian, principal secretary, energy and petrochemicals department of Gujarat said, "We have initiated talks with the IFC to seek its support for the project."

The government of the state of Gujarat in India has confirmed it is exploring the possibility of setting up a 1,000MW solar power project in conjunction with the International Finance Corporation (IFC). Gujarat estimates that the project could cost around Rs 8 to 9 crore per MW, therefore, the 1,000MW project could cost anywhere between Rs 8,000 to 9,000 crore.

DJ Pandian, principal secretary, energy and petrochemicals department of Gujarat said, “The project is still in the conceptual stage. We have initiated talks with the IFC to seek its support for the project. We will go ahead with it depending on their response.

“We have already managed to bring down the cost of solar power from Rs 15 per unit to less than Rs 10 per unit. With better technologies, there is no reason why prices should not fall further. Our idea is to bring down solar power price at par with the grid, i.e. around Rs 3 per unit,” Pandian said further.

The IFC, which is an arm of the World Bank, has said that it is keen to support such a project.
Anita George, regional industry director, Asia, infrastructure and natural resources, IFC said, “We have funded quite a few projects in Gujarat, including solar power projects. We are keen to extend the partnership with Gujarat, and are in talks with the government to see how IFC can help in the 1,000MW solar power project.

“We could also be involved in development of infrastructure and other necessary framework for such a project,” she added.