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September 30, 2013

CLP India adopted an innovative pooled financing structure for the wind projects...

 

Pooled Financing Structure CLP India

CLP India has signed a new Pooled Financing Structure for its wind assets with the syndicate of three banks, Standard Chartered Bank, IDBI Bank & IDFC to mitigate risks and ensure security to lenders.

As per the company, the pooled financing will help secure CLP India's current and future assets and mitigate the inherent risk arising out of the unpredictable nature of wind projects' output.

This new, innovative approach to financing the wind projects will strengthen the competitiveness and business performance in the Indian market and will aid the growth the company has planned for the future,

The company was so far following the project financing structure of financing where the cash flow is restricted to a specific project only.

As said by the company, Wind projects will be moved to the pool as and when they get commissioned. The standardization of documentation as a result of this approach, will lead to quicker financial closures that will enhance overall efficiency and effectiveness of the financing process.

CLP India expects to add 250 MW - 300 MW of wind projects every year. CLP India, a wholly owned subsidiary of Hong Kong-listed CLP Group owns 3,000 MW power projects in the country.

 


More literature on this...

http://economictimes.indiatimes.com/news/news-by-industry/energy/power/clp-india-signs-new-pooled-financing-structure-with-banks-for-wind-farms/articleshow/23312321.cms


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WAAREE receives 25 MW Solar PV Project from roha in rajasthan...

 

WAAREE logo

According to sources, one of India’s leading innovative solar solution companies, Waaree Energies Ltd has successfully acquired a turnkey order of a 25 MW Power Plant  from the Roha group which includes  the Designing of the plant, its technical and Engineering ground work, Installation process and Commissioning of the project.

The Roha group is one of the world's renowned manufacturing companies for Synthetic Colours and is also a prominent supplier of Natural Colours, specializing in the Food, Cosmetics & Pharmaceutical industries for the past thirty years.

This plant will be set up at the solar park in the state of Rajasthan and is targeted to be commissioned by December 2013.

Mr. Hitesh Doshi, CMD, Waaree group commented, “The fact that we are expanding our services in one of the biggest states of India is a huge achievement for the entire Waaree group. We are delighted and excited to work on this crucial Roha group project. With our existing expertise in the solar industry, we are geared to use innovative technology and manpower to execute the project on time and deliver the best to our customers.”

WAAREE Energies Ltd is a fast growing, innovative and dynamic manufacturer of solar PV panels. It designs, manufactures, erects, commissions and provides technical and maintenance support to a wide variety of Solar products, Systems and EPC. With 100 MW manufacturing capacity per year and a rich experience in the solar industry, the company also owns Solar PV plants and has recently diversified into Solar Thermal too.


More literature on this...

http://eqmaglive.com/EQ-ARTICLE-22499-Waaree-Energies-bags-a-turnkey-order-of-a-25.html#.UklBe9Ji350


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Rajasthan issues RfP for 50 MW Solar PV Plants having capacity of 1 MW each...

 

RfP 50 MW RRECL

The Rajasthan Renewable Energy Corporation Limited (RRECL) has released an RfP for the selection of 50 Solar PV plants of 1 MW (AC) to be connected on 11 kV level at 33/11 kV Discom’s substation in the state.

Some of the highlights of the RfP are

  • PPA duration – 25 Years
  • Selection process – Tariff based Competitive bidding (L1 process)
  • Last date of submission of electronic bid – October 26, 2013
  • PPAs signing date: February 28, 2014
  • Distribution of projects – The 50 projects will distributed among the 3 Discoms in the state – 20 projects in Jaipur Discom, 14 projects in Ajmer Discom and 16 Projects in Jodhpur Discom.
  • Bidders shall be selected for each Discoms separately. However, tariff to be awarded for a Zone (Discom) shall not exceed by more than 10% of the Zone (Discom) having lowest tariff.
  • Commissioning deadline – Within 12 months of signing the PPA.
  • The names of the 33/11 kV Sub-stations for each Discoms/Zone for which bidders may bid is available in the bid document.
  • The plant has to generate minimum energy corresponding to a CUF of 12% during first year and 16% during remaining years.

The bid documents can be downloaded from this link.

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UERC issued APPC Order for the FY14 at Rs. 2.72 per unit...

 

UERC logo

The Uttarakhand Electricity Regulatory Commission (UERC) has issued the Average Power Purchase Cost (APPC) for the Financial Year 2014 at Rs. 2.72 per unit.

The definition adopted by UERC for the APPC is as follows:

“weighted average pooled price at which the distribution licensee has purchased the electricity including the cost of self generation, if any, in the previous year from all the energy suppliers long-term and short-term, but excluding those based on renewable energy sources, as the case may be.”

The power purchase data of FY13 has been considered while arriving at APPC for FY14.

Based on power purchase expenses of FY13 furnished by UPCL to UERC, an APPC rate of Rs.2.72 per unit has been finalized. 

The soft copy of the APPC Order by APPC can be download from this link.

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India & US clinched a first commercial agreement on civil nuclear power co-operation...

 

India-US Nuclear Power Co-operation

India and United States have clinched a first commercial agreement on the civilian nuclear power co-operation after the landmark civil nuclear deal five years before.


Later in a joint statement, the two leaders noted that with government-to-government procedures agreed, commercial negotiations between India's nuclear operator Nuclear Power Corporation of India (NPCIL) and US firm Westinghouse are proceeding.

A fact sheet issued by the White House said this agreement should facilitate progress toward licensing the AP-1000 nuclear reactor technology in India.

Noting that the Indian government is planning to develop commercial nuclear power sites in Gujarat and Andhra Pradesh using US nuclear technology, it said both governments also decided to complete discussions on the Administrative Arrangements at an early date.

The two leaders urged NPCIL and US companies Westinghouse and General Electric-Hitachi to expedite the necessary work to establish nuclear power plants in Gujarat and Andhra Pradesh.

The US Nuclear Regulatory Commission (NRC) and the Indian Atomic Energy Regulatory Board (AERB) intend to sign a memorandum of understanding for the exchange of technical information in nuclear safety matters, the fact sheet said.

This arrangement should solidify close cooperation between the regulators, it noted.

 


More literature on this...

http://articles.economictimes.indiatimes.com/2013-09-28/news/42481705_1_npcil-nuclear-power-corporation-nuclear-liability-law


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Solar energy conversion efficiency at 44.7%, a new world record !

 

solar cell world record

According to sources, the Fraunhofer Institute for Solar Energy Systems ISE, Soitec, CEA - Leti, and the Helmholtz Center Berlin jointly achieved a new world record for the conversion of sunlight into electricity using a new solar cell structure with four solar subcells.

As per the researches, after more than three years of research, a new record efficiency of 44.7% was measured at a concentration of 297 suns. This indicates that 44.7% of the solar spectrum's energy, from ultraviolet through to the infrared, is converted into electrical energy.

This is a major step towards reducing further the costs of solar electricity and continues to pave the way to the 50% efficiency roadmap.

Back in May 2013, the German-French team of Fraunhofer ISE, Soitec, CEA-Leti and the Helmholtz Center Berlin had already produced a solar cell with 43.6% efficiency. Building on this result, further intensive research work and optimization steps led to the present efficiency of 44.7%.

These solar cells are used in concentrator Photovoltaics (CPV), a technology which achieves more than twice the efficiency of conventional PV power plants in sun-rich locations. The terrestrial use of so-called III-V multi-junction solar cells, which originally came from space technology, has prevailed to realize highest efficiencies for the conversion of sunlight to electricity. In this multi-junction solar cell, several cells made out of different III-V semiconductor materials are stacked on top of each other. The single subcells absorb different wavelength ranges of the solar spectrum.

“We are incredibly proud of our team which has been working now for three years on this four-junction solar cell,” says Frank Dimroth, department head and project leader in charge of this development work at Fraunhofer ISE. “This four-junction solar cell contains our collected expertise in this area over many years. Besides improved materials and optimization of the structure, a new procedure called wafer bonding plays a central role. With this technology, we are able to connect two semiconductor crystals, which otherwise cannot be grown on top of each other with high crystal quality. In this way we can produce the optimal semiconductor combination to create the highest efficiency solar cells.”

“This world record increasing our efficiency level by more than 1 point in less than 4 months demonstrates the extreme potential of our four-junction solar cell design which relies on Soitec bonding techniques and expertise,” says André-Jacques Auberton-Hervé, Soitec’s Chairman and CEO. “It confirms the acceleration of the roadmap towards higher efficiencies which represents a key contributor to competitiveness of our own CPV systems. We are very proud of this achievement, a demonstration of a very successful collaboration.”

Concentrator modules are produced by Soitec (started in 2005 under the name Concentrix Solar, a spin-off of Fraunhofer ISE). This particularly efficient technology is employed in solar power plants located in sun-rich regions with a high percentage of direct radiation. Presently Soitec has CPV installations in 18 different countries including Italy, France, South Africa and California.

 


More literature on this...

http://www.onlinetes.com/world-record-solar-cell-efficiency-manufacturing-92813.aspx


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Gujarat to install 60 MW roof top solar projects in next three years...

 

roof top solar in Gujarat

The Government of Gujarat is planning to install around 60 MW of solar power generation capacity through roof-top units during the next three years and for that purpose a policy will be launched to attract manufactures.

As said by the Gujarat Principal Secretary, Energy & Petroleum Department, the state currently is considering mainly on roof-top solar power as it offers enormous potential. Covering only 20 percent of the houses, around 2,000 MW of solar generation capacity can be installed.

Currently, the state is planning to install to install about 60 Mw capacity in next three years through roof-top units route. Tenders for 5 MW roof-top solar power generation in five cities namely Rajkot, Mehsana, Bhavnagar, Vadodara and Surat are ready and waiting approval from Gujarat Electricity Regulation Commission.

As per the Government, to make the roof-top solar power generation economically viable the state government was also planning to come out with a policy to attract solar manufacturing sector.


More literature on this topic...

http://www.business-standard.com/article/economy-policy/gujarat-govt-plans-60-mw-solar-power-through-roof-top-units-in-next-3-years-113092301087_1.html


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Bihar government to invest Rs. 28,000 Crores for improving power scenario in the state...

 

power sector bihar

According to sources, the Bihar Government is planning to invest around Rs. 28,000 Crores to strengthen the state power sector in the next five years.

 

 

Out of the proposed amount

  • Rs. 10,000 Crores will be used to improve the depreciated power infrastructures related to transmission & distribution of electricity.
  • The balance amount will be used to connect all of every village in Bihar with electricity in next couple of years  and to improve generation in the state.

Currently, Bihar is having highest highest Transmission & Distribution Losses in the country. As per the government data, the state loses almost half of its power even before it reaches to the consumers. The Government is planning to bring down these losses to 10 percent in next five years. For that purpose, the state government has recently signed an MoU with the Power Grid Corporation of India with an aim to revamp its transmission network.

It has also decided to give the distribution network of almost 70 towns in the state in the private hands to improve its revenue collection.


More literature on this...

http://www.business-standard.com/article/economy-policy/bihar-plans-to-invest-rs-28-000-crore-on-power-sector-in-next-5-years-113092900778_1.html


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September 28, 2013

MNRE sets solar energy target at 10,000 MW by 2017...

 

solar power target

Ministry of New and Renewable Energy (MNRE) has set a target of generation of 10,000 mw of power through solar energy by the year 2017.

The minister for new and renewable energy Farooq Abdullah said that the phase I of the Jawaharlal Nehru National Solar Mission (JNNSM) has been very successful wherein 1685 MW of solar power was generated as against the target of 11,000 MW.

Abdullah said that large tracks of land have been identified in Rajasthan, Kargil and Ladakh which have immense potential of generation of solar power. He though cited that the challenge was starting a transmission line in the areas of Kargil and Ladakh so that power could be evacuated to the other parts of the country. He also said that there should be a lot of focus on breakthrough in new research to ensure storage of solar energy for greater time period.

Ratan P. Watal, secretary, MNRE, highlighted importance of development of solar power for meeting the solar requirements of around 40% of the population which lacked access to energy resources. Even providing one unit of power to such houses throughout the year would in itself need a generation of 15,000 MW of solar power.

JNNSM was launched in 2010 with an ambitious target of deploying 20,000 mw of grid connected solar power by 2022. Solar mission has targeted a capacity of grid connected solar power generation of 1000 mw within three years of its launch and to reach installed power capacity of 10,000 mw by the year 2017. The target of 20,000 mw for 2022, which if successful, could lead to conditions of grid-competitive solar power.

 


More literature on this...

http://articles.economictimes.indiatimes.com/2013-09-25/news/42394483_1_solar-power-power-generation-nehru-national-solar-mission


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Tata power is developing a 28.8 MW project in satara, Maharashtra to meet solar RPO of its distribution company...

 

tata power solar project

Tata Power Renewable Energy Limited (TPREL), the wholly owned subsidiary of Tata Power, is developing a 28.8 MW Solar PV Project in the Satara District in Maharashtra.

The plant will be spread over around 130 acre of land.

Electricity from the project will be supplier to the Tata Power's Distribution arm under a Power Purchase Agreement (PPA) for 25 years which will enable the distribution company to meet its solar renewable purchase obligation.

The power generated will be routed through Maharashtra State Electricity Transmission Limited (MSETCL)'s network.

As said by the Company, Tata Power is committed to generating 20-25 % of its total generation capacity from clean energy sources and is proud to be developing one of the largest solar projects in the country. TPC strives to reduce its carbon footprint.

 


More literature on this...

http://timesofindia.indiatimes.com/city/mumbai/Tata-Power-to-develop-28-8-MW-solar-power-project/articleshow/23205392.cms


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Maharashtra to seek opinion from CAG/CVC on the proposed tariff hike for UMPPs of TATA Power & Adani Power...

 

image

The Maharashtra Government has decided to take opinion from the Central Vigilance Commission or Comptroller and Auditor General, regarding the proposed tariff hikes of the Ultra Mega Power Projects (UMPPs) by Tata Power & Adani Power

The Central Electricity Regulatory Commission (CERC) has asked Maharashtra to respond to the report prepared by a committee approving the proposed tariff increase for UMPPs of Tata Power & Adani Power in Gujarat.

As said by the GoM, the issue at stake include preservation of a national asset without compromising the contractual obligations of the operators. Compensatory tariff needs to be resolved in a transparent manner to avoid aspersions on the state government.

Apart from Maharashtra, CERC has also asked the power distribution utilities of Gujarat, Rajasthan, Haryana and Punjab to sign the report as members of the committee.

The states would have to approach their respective cabinets before signing the report. This move could delay revision in electricity tariffs from stations run by Tata Power (4,000 mw) and Adani Power (4,620 mw) at Mundra in Gujarat.

The Parekh committee report recommended compensatory tariff of Tata Power's Mundra UMPP by 45-55 paise per unit and Adani Power's tariff by upto 60 paise per mw.

The panel, appointed by Central Electricity Regulatory Commission to suggest tariff hike for the two 4,000-mw projects of Tata Power and Adani Power, submitted its separate reports on the two projects on August 16.

The report has suggested linking the tariffs to global coal prices and the revenue generated from the coalmines that have been bought by the two companies to run the power plants.

Power regulator had in April this year allowed Tata Power and Adani Power to pass on high imported coal costs to consumers. The regulator had appointed the Parekh committee to evaluate a compensatory tariff mechanism.

Tata Power and Adani Power had sought tariff escalation for power citing increasing cost of imported coal from Indonesia since last year. Tata Power and Adani Power claimed annual loss of Rs 1,600 crore and Rs 1,370 crore respectively by running their plants.

 


More literature on this...

http://economictimes.indiatimes.com/news/news-by-industry/energy/power/maharashtra-government-seeks-cvc-cag-opinion-for-mundra-tariff-hike/articleshow/23206661.cms


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ADB approved $500 million loan for transmission system of renewable energy projects in India...

 

image

The Asian Development Bank has decided to provide a $500 million loan for the development of a transmission system for evacuation of renewable energy projects such as solar and wind energy in western India.

 

The loans from the Manila-based bank come at a time when India is looking to boost dollar inflows to prop up the sagging rupee.

 

As said by the ADB, boosting of renewable energy projects for Rajasthan and other parts of India is a way to meet fast growing energy needs in an environment friendly manner and also improve the country's energy security by reducing reliance on imported fossil fuels.

 


More literature on this...

http://articles.economictimes.indiatimes.com/2013-09-27/news/42463964_1_renewable-energy-project-energy-security-adb


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Power Trading Prices are at all time low...

 

Power Trade

Prices of Power/Electricity being traded on the Power Exchanges have been reduced significantly on account of increased power generation, grid congestion and poor financial health of distribution companies.

The Power Trading accounts for nearly 2.5% of the power being transacted in the Country.

In the year 2008, the average Power Trading prices were around Rs. 7 per unit which has been reduced to around Rs. 2 per unit currently.


Further, as per the data on the Power Exchanges such as Indian Electricity Exchange (IEX) & Power Exchange of India (PXI), the power trading price has never crossed Rs. 3 per unit during the current financial year. Since April 2010, average price of electricity on Indian Energy Exchange ( IEX), which dominates market with over 90% share, crossed mark of Rs 5 per unit only once.

 

Average electricity price on IEX came down by 10% to Rs 2.05 per unit in August from Rs 2.28 in July. It attracted sellers for 5200 million units (MUs) in August, substantially higher than buyers for 2899 MUs during the same month.

The similar trend was witnessed on both IEX and Power Exchange of India Limited (PXIL) during July when they witnessed demand for 3040.32 MUs, which was 60% of available 5,111.02 MUs of electricity in the market.

As per the Power Exchanges, the reasons behind this trend are:

  • Over supply of electricity in the system
  • Inability of some of the buyer to draw power on account of congestion in the network. According to estimates, at least 10% of the electricity trade is not happening due to lack of adequate transmission network.
  • Inability of the Distribution Companies, on account of poor financial health, to buy power from the exchanges as they have to pay money in advance unlike other sources

 


More literature on this...

http://economictimes.indiatimes.com/news/news-by-industry/energy/power/electricity-prices-on-exchanges-plunges-to-new-low/articleshow/23202979.cms


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September 6, 2013

Ujaas Energy received Rs. 13.35 Crores order for roof top solar projects...

 

image

Ujaas Energy has bagged a Rs 13.35 crore order from the Ministry of New and Renewable Energy for setting up a 1.75 MW roof top solar panel installation at four cities.

Solar Energy Corporation of India (SECI), a division of MNRE invited bids for setting up roof top installation in Hyderabad (250 KW), Bhubaneswar (500 KW), Jaipur (500 KW) and Noida/Greater Noida (500 KW).

The company intends to set up these power generation equipment on educational institutions, IT Parks and big industrial roofs the company and it will be executed within 6 months.

The performance of these plants will be directly monitored by the utility and the ministry. The company is also a SP 2A rated company and is an accredited channel partner of MNRE with superior ranking as a system integrator for the off grid and decentralized solar projects under JNNSM.

Ujaas Energy is one of the first companies to install a solar power plant under renewable energy certificate (REC) mechanism in March 2012. The company has started setting up an innovative offering called as 'UJAAS Park ', that provides complete plug & play solution to the investor for putting up a solar power plant at an affordable cost in time.

The services include land identification, registration, EPC, O&M, power sale, identifying third party buyer, REC trading etc.

Ujaas Energy is engaged in manufacturing of distribution transformers, power transformers, furnace transformers and special purpose transformers for more than 3 decades.

The company sells their products to various State Electricity Boards, Public Sector Undertakings, Private sector companies engaged in Generation and Distribution of Electricity and other Industrial undertakings engaged in Steel, Power, Textile, Coal & Mine, Infrastructure, Engineering & Automobile Sectors etc.

Source

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Tata Power's long term corporate credit Rating lowered by Standard & Poor's

 

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Long Term Corporate credit rating of Tata Power limited has been reduced from BB to B+ by Standard & Poor's Rating Services. The outlook is negative.

Further, the issue rating on the company's outstanding senior unsecured notes due 2017 has been lowered from BB- to B+ as according to Standard & Poor's, the company's cash flows are likely to remain weak with a ratio of funds from operations (FFO) to adjusted debt at less than 10% over next 12 months.

According to the Standard & Poor's, the primary drivers for Tata Power's lower cash flows on a consolidated basis are less-than-full recovery of fuel costs at a 4,000 megawatt coal-fired project at Mundra and lower returns from investments in Indonesian coal companies because of substantially reduced thermal coal prices.


The fully operational Mundra project exposes Tata Power to volatility in coal prices because the company can only pass through a part of fuel costs to its customers. The project's ability to blend fuel with some low calorific value coal tempers the fuel-price risk.
India's Central Electricity Regulation Commission (CERC) recently issued an order for a full pass through of fuel costs at the Mundra project. A committee set up by CERC also recommended a mechanism for payment of a compensatory tariff to recover fuel-cost related losses at the project.


These measures are likely to improve Tata Power's cash flows. However, the timing and quantum of the tariff remain uncertain. We expect Tata Power's ratio of FFO to debt to be about 7.5% in fiscal 2014 and rise to 10%-14% in fiscal 2015 if the compensatory tariff becomes effective in 2015.

As said by the S&P

"We believe lenders to the Mundra project are likely to support the project despite the expiry of a waiver on a bank loan covenant breach in June 2013. We assess Tata Power's liquidity as ""less than adequate,"" as our criteria define the term. Tata Power's weak consolidated cash flows are likely to weaken its ability to pay maturing debt over the next 18 months. Tata Power has large bullet debt maturities totaling about US$670 million due in April 2014, July 2014, November 2014, and April 2015. We believe the company might undertake measures to meet its funding requirements,

The negative outlook reflects the uncertainty regarding the company's plan to refinance its debt maturities over the next 12-18 months, The outlook also reflects uncertainty regarding approvals for the tariff relief at Mundra.

We may lower the rating if Tata Power's liquidity weakens further or if the company faces difficulty in refinancing its upcoming debt maturities in a timely manner. A downgrade could also follow a further deterioration in cash flows, such that the ratio of FFO to debt reduces to 5%-7% on a sustained basis. We believe this could occur if coal prices decline further or remain low for a sustained period, or if approvals for the tariff relief are not available beyond 2015.

We may revise the outlook to stable if Tata Power has a concrete plan to meet its upcoming debt maturities; eliminates its bank loan covenant breaches; and faces no material deterioration in its business."

 


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