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May 17, 2012

Welspun has plans to develop 500 MW Solar PV Projects by 2017.

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As said by the rating agency CARE, the Welspun Group is planning to put up around 500 MW of solar photovoltaic (PV) capacity by 2016-17.

 

The group currently has a capacity of 30 MW under various special purpose vehicles.

 

Last week Welspun bided and won for a 125 MW solar energy project in a tender floated by the Madhya Pradesh Government, quoting a tariff of Rs 8.05 a unit.

 

In the first two rounds of bidding under the National Solar Mission, Welspun had won 50 MW and 5 MW of solar photovoltaic projects each.

 

The Welspun Group has diversified business interests with a presence in power generation, exploration and production of oil and natural gas, steel pipes, home textiles, retail and infrastructure.

 

In addition to 500 MW of solar projects, the group intends to own 1,000 MW of wind power capacity. The group has said it would invest Rs 15,000 crore on renewable energy in the coming years.

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Solar Power in Space, a valuable source of renewable energy…

Solar Power in Space

As per the recent research being done by University of Strathclyde, Glasgow, solar power from space could be a valuable source of renewable energy.

 

Glasgow University has already tested equipment that would provide a platform for solar panels to collect the energy and allow it to be transferred back to earth through microwaves or lasers.

 

This unique development would provide a reliable source of power and allow valuable energy to be sent to remote areas in the world, providing power to disaster zones or outlying areas that are difficult to reach by traditional means.

 

As said by Massimiliano Vasile, Mechanical & Aerospace Engineer at Strathclyde:

"Space provides a fantastic source for collecting solar power and we have the advantage of being able to gather it regardless of the time of the day or indeed the weather conditions. In areas like the Sahara desert where quality solar power can be captured, it becomes very difficult to transport this energy to areas where it can be used. However, our research is focusing on how we can remove this obstacle and use space-based solar power to target difficult to reach areas. By using either microwaves or lasers we would be able to beam the energy back down to earth, directly to specific areas. This would provide a reliable, quality source of energy and would remove the need for storing energy coming from renewable sources on ground as it would provide a constant delivery of solar energy. Initially, smaller satellites will be able to generate enough energy for a small village but we have the aim, and indeed the technology available, to one day put a large enough structure in space that could gather energy that would be capable of powering a large city."

 

A team of from Strathclyde last month developed an innovative 'space web' experiment which was carried on a rocket from the Arctic Circle to the edge of space.

 

The experiment, known as Suaineadh - or 'twisting' in Scots Gaelic - was an important step forward in space construction design and demonstrated that larger structures could be built on top of a light-weight spinning web, paving the way for the next stage in the solar power project.

 

Vasile added: "The success of Suaineadh allows us to move forward with the next stage of our project which involves looking at the reflectors needed to collect the solar power."

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RPower seek removal of references of Sasan & Tilaiya UMPPs from CAG Draft report…

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Reliance Power Limited (“RPower”) has requested Controller & Auditor General (“CAG”) to remove from its draft report the observations about utilization of excess coal from Sasan & Tilaiya projects. 

 

It seems that, RPower’s request was considering the decision of Empowered Group of Ministers (EGoM) on not to review the earlier decision allowing RPower to use excess coal from the Sasan UMPP.

On Tilaiya UMPP, the EGoM has decided that permission for use of surplus coal from Tilaiya UMPP would be governed by a new policy on excess coal usage. The policy would be formulated by the Coal Ministry.

 

In a letter to Comptroller & Auditor General, Vinod Rai, Reliance Power has requested the auditor to "consider dropping the audit para on undue benefits arising out of surplus coal from Sasan UMPP and Tilaiya UMPP".

Excess coal from Sasan UMPP is to be used for Chitrangi project.
As per the letter, Chitrangi project -- where the excess coal from Sasan is to be used -- is still awaiting certain important clearances and hence it may be premature to quantify any benefit due to sale of power using surplus coal.

 

Reliance Power said that as per reported EGoM decision, the permission for surplus coal usage from Tilaiya UMPP would be as per the new policy and "hence it may not be appropriate to quantify losses or make observations on Tilaiya UMPP".

Reliance Power has bagged three UMPPs -- Sasan (Madhya Pradesh), Tilaiya (Jharkhand) and Krishnapatnam (Andhra Pradesh). UMPPs are generally referred to as projects having generation capacity of 4,000 MW.

 

 

 


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Hurdles before RPower’s JIPL for Tilaiya UMPP…

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Even as land acquisition hurdles are posing a trouble to Jharkhand Integrated Power Limited’s (JIPL’s) 4,000 MW Tilaiya ultra mega power project (UMPP), the Reliance Power wholly owned subsidiary now has to resolve the critical issue of a stupendous Rs 3,131 crore increase in Rehabilitation and Resettlement (R&R) cost over the original pre-bid estimates.

The increase in project cost, on account of the substantially higher R&R expenditure, has led most of the lenders to doubt the bankability of the Tilaiya project.

 

The power utility, to avoid any possible repercussions, has sought in principle approval from the procurers for this additional expense and the complete recovery of the amount.
through the tariff mechanism.

 

During the pre-bid stage, Envirotech and Green C consultants, appointed by Power Finance Corporation (PFC) to assess the extent of R&R involved in the project, had pegged the R&R expenditure at Rs 481 crore for both coal block and power plant areas.

 

Source: Industry Monitor

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KERC dropped transmission wheeling charges for solar energy…

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The Karnataka Electricity Regulatory Commission (KERC) has decided not to charge any wheeling charges on transmission of solar energy.

 

This is as part of the Commission’s bid to promote solar energy based power generation and transmission through the grid

 

For the wheeling of power, generated from other non-conventional energy sources, within the state, the existing wheeling charges at 5% of the injected energy will continue during 2012-13.

 

Various other relief measures are also in place.

 

At the same time, if energy from renewable sources is wheeled from the state to consumers outside the state, normal wheeling charges ranging from Rs 0.21 per unit to Rs 0.69 per unit will apply.

 

Source: Industry Monitor

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Toshiba JSW Turbine & Generator Pvt Ltd received 1675 Crore order from Meja Urja for supply of supercritical generators…

Toshiba JSW logo

Meja Urja Nigam Pvt Ltd has awarded an order to Toshiba JSW Turbine & Generator Pvt Ltd for supply of two units of supercritical steam turbine generators of 660 MW each.

 

The said order is worth Rs. 1,675 Crore.

 

The scope of the contract covers engineering, procurement, manufacturing, installation and testing of the steam turbine generator island. Setting up a local manufacturing facility and phased manufacturing programme with technology transfer was a mandatory requirement for the tender, says a press release from the company.

 

Meja Urga is a joint venture of NTPC and Uttar Pradesh Rajya Vidyut Utpadan Nigam Ltd and is developing the project at Meja in Uttar Pradesh.

 


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Greenpeach suggests microgrids in Bihar to supply renewable energy to all the areas of state; report released…

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As suggested by Greenpeace India, a network of microgrids should be set up in Bihar so that the renewable energy can be provided to all the areas of the state.

 

According to Samit Aich, the Execution Director of Greenpeace India, this model of energy supply will foster inclusive growth and remove the energy poverty in Bihar.

 

Further according to him,  Bihar has enormous energy deficit which is a major challenge for the growth of the state, but it has the potential to become a power surplus state with strong focus on development of renewable energy through right incentives, enabling environment and effective implementation, he said.

 

Microgrids can offer reliable and cost competitive electricity services, besides providing a viable alternative to the conventional top down approach of extending grid services. Greenpeace urged the state government to focus on integrated energy planning based on cluster based development.

 

The energy planning should promote the establishment of a council for rural industrialisation and establishment of related coordination committees at district level.

 

The report prepared by Greenpeace and released by Bihar Energy Minister Mr. Bijendra Prasad can be downloaded (in pdf form) from the below mentioned link.

 


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CESC acquired 146 MW Hydro Projects at Arunachal Pradesh from Indiabulls…

Hydro Projects

CESC Limited, a group company of R.P.Sanjiv Goenka Group, has acquired Arunachal Pradesh based Pachi and Papu Hydro Power Projects from Indiabulls Group.

 

The combined capacity of these projects is around 146 MW and are located at Kameng District of Arunachal Pradesh.

  • Pachi Hydro is a 56 MW Phangchung Hydro Electric Project
  • Papu Hydro project is a 90 MW Project .

 

CESC is already having around 90 MW Hydro Power Project in Arunachal Pradesh in West Sian district. The project is under development and will be built across Siom River near village Jarong.

 


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Coal Ministry asked CIL to consider Power Producers request of revised minimum supply level and other changes…

Burning Coal

As said by Mr. Sripraksh Jaiswal, Coal Minister in Lok Sabha, The Coal Ministry has asked Coal India ltd to consider National Thermal Power Corporation’s request on revision of minimum fuel supply level.

 

CIL has received a request from NTPC to consider signing of the FSA for the additional units of their existing power stations on the same parameters as done with their existing plants, but with revised trigger point on disincentive as per the government orders.

 

NTPC is not willing to sign the FSAs proposed by CIL without the changes in the minimum fuel supply level as well as other changes suggested by power producers.

 

As said by the NTPC Chairman and MD, Mr. Arup Roy Choudhury:

I will only sign the FSA with change in the trigger point, because that is the direction given by the government, why should I accept 10 or 15 more changes.

NTPC is among the many power generators who have refused to ink the fuel supply agreement (FSA) with CIL.

Due to acute fuel scarcity hitting power generation, the government has directed CIL to sign FSAs with power companies, with the minimum supply commitment of 80 per cent of the total contract.

With persisting uncertainty over FSA, Power Minister Sushilkumar Shinde had written to the Prime Minister's Office (PMO) seeking intervention on the issue.


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PFC to ease pre disbursement conditions for power projects…

Project Finance

As the power plant developers are finding it difficult to get finances for their projects due to stringent loan conditions, Power Finance Corporation has eased some of its eligibility conditions for loan disbursals to power projects. This is an effort to revive the power sector which is passing though various crucial issues including scarcity of funds.


Earlier, in view of the challenges faced by the sector, PFC had set strict pre-conditions for loan disbursals to reduce its risks on loans that were already sanctioned. Since April 2011, the state-run lender had been disbursing loans to only those power projects that had signed power purchase agreements with procurers and also had assured fuel supply for the plant in place.

 

However, in the last three months, PFC has started disbursing loans based on the real development at the project. Instead of demanding for both fuel supply agreements and power purchase agreement, PFC is now considering the request even if one of these conditions are fulfilled.

 

The move was due to developers were not able to fulfil these conditions because state distribution companies are not inviting bids for PPAs and therefore changed the preconditions.


PFC has a target to sanction 45,000-crore loans, and disbursed loans worth 35,500 crore in 2011-12. The company would announce its results on May 22.

According to PFC:

Even if a power plant gets 50% of its fuel supply, lender would not have a default. Now with Coal India committing 80% supply, and projects running at 70-75% efficiency, there's no worry for lenders.

 


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