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Web Exclusive | May 2013

470 mw of renewable energy projects face delay

Media reports indicate that at least seven renewable energy projects totaling 470 megawatt capacity are delayed because of various factors like non-availability of equipments, water, or financial issues.

These projects were awarded by the government in December 2010. It is learnt that the government may claim the about Rs 2.3 billion ($42.5 million) in performance guarantees because of delay in these projects, which were to be completed by May.

Some of the firms that are executing these projects are Godawari Power and Ispat, Reliance Power (RPWR) and Lanco Infratech (LANCI). These projects are learnt to be in the solar power segment.

According to some reports, an expert committee at the ministry is recommending a 10-month extension for the projects.

Godawari Power's 50-megawatt project is the closest to completion. It’s undergoing final testing and should be finished by early June, reports indicate.

Meanwhile, Reliance Power's 100-megawatt project owned is about six months behind schedule. A delay in laying a water pipeline by Rajasthan state authorities to the site stalled the plant, according to a letter sent by the Rajasthan government to Renewable Energy Minister Farooq Abdullah in March.

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