News Brief | December 2014
Karnataka and AP allocate 1 GW PV projects
Karnataka has opened financial bids for 500 MW solar PV projects, just a few days after financial bids for another 500 MW solar PV projects were opened in Andhra Pradesh. The bidding process in both the States was based on reverse bidding: on the basis of flat tariff in Karnataka; 3 per cent escalation per year until the 10th year in Andhra Pradesh. The median winning bid in Karnataka is Rs 6.94/kWh. The levelised (adjusted for escalation) median winning bid in Andhra Pradesh is Rs 6.70/kWh. The opportunities in both the States are quite comparable. Both First Solar and Acme who aggressively bid in Andhra Pradesh, did not participate in the Karnataka bids. Overall solar tariffs in India seem to have stabilised between Rs 6/kWh and Rs 7/kWh.