Andhra Pradesh: Developers seek extension of deadline for solar projects bid 

While the AP Green Energy Corporation Ltd (APGECL) had earlier announced December 28 as the last day for submitting the bids, stakeholders sought at least three more months’ time.
Image of solar panels used for representational purpose only. (Photo | AP)
Image of solar panels used for representational purpose only. (Photo | AP)

VIJAYAWADA: Citing that the investors sentiment was poor due to the state government’s earlier attempt to review renewable power purchase agreements (PPAs) and that developers need more time to study the project, solar energy companies have made a representation to the State to extend the time for submitting bids for the 6,400 megawatts (MW) solar power plants proposed to be setup to meet the free agriculture power demand. 

While the AP Green Energy Corporation Ltd (APGECL) had earlier announced December 28 as the last day for submitting the bids, stakeholders sought at least three more months’ time. According to information, the National Solar Energy Federation of India (NSEFI) has written to the APGECL stating that though independent power producers backed by international and domestic lenders evinced interest in the project, they were apprehensive to participate because of the “pending PPA issues and receivables (dues)”. “...As a result of the government’s decision to revoke the PPAs signed for operational wind and solar projects in the state, the investor sentiment is low...While the matter is listed before the High Court of Andhra Pradesh, getting the issue resolved will be a key to attract large investors and gaining confidence of developers to bid for these projects,” said the federation, which is an umbrella organisation of solar energy companies.

Prior to raising the issue of PPAs, the federation also said that preliminary feedback on the topography of the locations proposed by the state was rocky and needs time to study as it may result in increased costs. It said that the major factor that affects solar projects was irradiation levels and as the proposed project sites were spread over a wide geographic area, it needs to be ascertained.While APGECL had invited bids for projects at 10 locations -- Chakrayapet (600MW), Thondur (400MW), M Kambaladinne (600MW) and Pendlimarri (600MW) of Kadapa district, Rudrasamudram (600MW) and CS Puram (600MW) of Prakasam district and others. 

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