India plans 10GW solar allocation this year

May 14, 2015
Facebook
Twitter
LinkedIn
Reddit
Email

The Indian Ministry of New and Renewable Energy (MNRE) has met to discuss revised plans to tender 10GW of solar capacity on a state-by-state basis over the next year.

According to consultancy firm Bridge to India, these projects will be split between 3GW of tariff-based bidding and 7GW of Viability Gap Funding (VGF)-based bidding.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

India’s central government is understood to have approved the 7GW block of VGF projects. MNRE expects to complete allocation of these projects by the end of the current financial year, said Bridge to India.                  

The VGF projects will be tendered on a state-by-state basis. MNRE has so far received confirmation from states for 2,670MW of projects:

  • 500MW each in Karnataka, Uttar Pradesh, Maharashtra, Tamil Nadu
  • 250MW each in Rajasthan, Gujarat
  • 100MW in Kerala,
  • Smaller-scale projects in Uttarakhand, Delhi, Meghalaya and Lakshadweep

Bridge to India said: “If India is able to allocate the entire 10GW in this financial year, it will be path-breaking from a global perspective.”

However the consultancy is of the opinion that the allocations might stretch beyond the timelines stated, due to multiple operational reasons, including land availability and off-taker willingness to procure power.

A large capacity allocation in a short period of time could also involve a lack of bidding interest, which would in turn lower the competitiveness of the bids. Bridge to India was also concerned that a sudden surge in demand for capacity could lead to higher installation costs and a higher VGF/tariff.

Bridge to India consultant Mudit Jain tweeted:

In related news the utility National Thermal Power Corporation (NTPC) issued a tender for 500MW of solar capacity in the state of Andhra Pradesh. These projects will be awarded via tariff-based bidding and solar power will be sold by NTPC to distribution companies on a bundled basis along with thermal power. According to Bridge to India, MNRE officials claimed that tenders for a further 2,500MW of projects under the same scheme will be announced in the next two months.

NTPC and the power utilities Andhra Pradesh Eastern Power Distribution Company Limited (APEPDCL) and Andhra Pradesh Southern Power Distribution Company Limited (APSPDCL) have also signed a power purchase agreement (PPA) for procurement of power to be generated from a 250MW solar power plant.

NTPC plans to install 3,000MW of solar PV capacity during the financial year according to I J Kapoor, NTPC director.

Read Next

October 31, 2025
Australia's solar and energy storage sectors delivered transformative performance during the third quarter of 2025, with grid-scale solar generation reaching 1,699MW average output while battery systems expanded capacity by 2,936MW since Q3 2024.
October 31, 2025
Acen Australia has committed to recycling around one million solar modules from its 400MW Stubbo solar PV power plant in New South Wales.
October 30, 2025
Scatec posted development and construction (D&C) revenues of NOK1,760 million (US$175.1 million) in the third quarter of this year.
October 30, 2025
Global net zero by 2050 is now “impossible” and the world is on course for temperature rises of 2.6°C, according to energy market analyst Wood Mackenzie.
October 30, 2025
US microinverter producer Enphase Energy posted increased revenues, margin and income in Q3 2025, as it doubles down on its US manufacturing operations.
October 30, 2025
Nexamp has secured US$600 million in financing for distributed solar and energy storage projects in the US.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
November 12, 2025
10am PST / 1pm EST
Solar Media Events
November 25, 2025
Warsaw, Poland
Solar Media Events
December 2, 2025
Málaga, Spain
Solar Media Events
February 3, 2026
London, UK
Solar Media Events
March 10, 2026
Frankfurt, Germany