Indian Economy News

Maha govt to develop six solar cities, add solar capacity of 7,500 MW

Mumbai: The BJP-led government in Maharashtra has put in place a comprehensive plan to simultaneously develop six solar cities and implement solar capacity addition of 7,000 MW in the state. 

The Centre has shortlisted Nagpur, Aurangabad, Thane, Kalyan-Dombivli, Nanded and Shirdi for development as solar cities. These are part of 55 solar cities to be developed across the country and have been selected based on the population and other criteria. 

The state government has prepared a blueprint in this regard and hopes to develop six solar cities through central and state funding.

The government also recently announced capacity addition off 14,400 MW through renewable energy sources in a bid to meet the increasing power demand in the state. Of the 14,400 MW, nearly 7,500 MW is proposed to be added through solar, 5,000 MW through wind and rest from other sources including co generation, industrial waste. 

Of the 7,500 solar capacity, 5,000 MW will be developed on build operate transfer (BOT) basis while 2,500 MW through public private participation (PPP) or based on engineering procurement construction (EPC) basis. 

A state government official, associated with these initiatives, told Business Standard, "The civic bodies and district administration will soon set up an independent smart city cell and solar city stakeholders committee. They will take necessary decisions with regard to rebate in property tax & in electricity tariff though distribution utilities to the users of solar water heaters especially in the domestic sector. The civic bodies will amend building bylaws for making use of solar water hearing systems mandatory in certain category of buildings.'' 

The official said the civic bodies of these six cities will take necessary decisions to adopt renewable energy technologies and energy efficiency measures.

As far as solar capacity addition is concerned, the official said the government will attract private investment to develop 5,000 MW on BOT model. 

''The power from the proposed solar projects will be procured through competitive bidding. This apart, 2,500 MW will be developed jointly by the state undertakings MahaGenco or by MahaVitaran with private developers under the PPP model or through EPC basis. This is to meet state's renewable power obligation,'' he added.

The government proposes to promote development of 1 MW solar plants and solar parks in industrial areas, townships and irrigation canals. Further, solar projects of 250 kW will also be encouraged.

According to the official, land for proposed solar capacity addition will be provided through deemed non agricultural approvals and these projects would not need nod from the state pollution control board.  

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.

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